COMPREHENSIVE PRACTICE EXAM LATEST UPDATED
ACTUAL FINAL EXAM|LATEST 2026/2027
Introduction
WGU’s 2026 catalog lists D076 as **Finance Skills for Managers**, covering financial
decision-making, forecasting/budgeting, and financial analysis; recent student
reports also emphasize ratios, budgeting, stocks/bonds, DuPont, IRR/NPV, and Excel-
style calculations.
**1. What is the primary objective of financial management in a for-profit
organization?**
A. Maximize the number of employees
B. Minimize all business expenses
C. Maximize shareholder wealth
D. Eliminate business risk
**Answer: C**
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**2. Which financial statement reports a company's assets, liabilities, and equity at a
specific point in time?**
,A. Income statement
B. Balance sheet
C. Statement of cash flows
D. Retained earnings statement
**Answer: B**
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**3. Which of the following is classified as a current asset?**
A. Accounts receivable
B. Long-term debt
C. Common stock
D. Building
**Answer: A**
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**4. A company has current assets of $120,000 and current liabilities of $60,000.
What is its current ratio?**
,A. 0.50
B. 1.00
C. 1.50
D. 2.00
**Answer: D**
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**5. Which ratio primarily measures a company's ability to meet short-term
obligations?**
A. Current ratio
B. Return on equity
C. Debt-to-equity ratio
D. Inventory turnover
**Answer: A**
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**6. Which financial statement primarily measures revenues and expenses over a
period of time?**
, A. Balance sheet
B. Income statement
C. Statement of financial position
D. Cash budget
**Answer: B**
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**7. Which item would normally increase a company's working capital?**
A. Paying accounts payable
B. Purchasing inventory with cash
C. Collecting accounts receivable
D. Issuing long-term debt
**Answer: D**
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**8. What does the debt-to-equity ratio primarily measure?**