WGU D102 PRE-ASSESSMENT EXAM,64
QUESTIONS AND ANSWERS LATEST
UPDATED 2024.GUARANTEED SUCCESS
FOR A GRADE A+.
What information is contained in a balance sheet?
Report of a company's financial position during a period of time.
Report of a company's operating performance as of a point in time.
Report of a company's financial position as of a point in time.
Report of a company's operating performance during a period of time. - Correct answer Report
of a company's financial position as of a point in time.
What is an owners' equity item?
Loans payable
Accounts receivable
Capital stock
Cash - Correct answer Capital stock
A company ended July with assets of $150,000 and owner's equity of $60,000.
What is the amount of liabilities at the end of July?
$60,000
$90,000
$150,000
$300,000 - Correct answer $90,000
What is reported in a multiple-step income statement that is not reported in a single-step income
statement?
Gross profit
Dividends
Retained earnings
1
,WGU D102 Pre-Assessment Exam,64 Questions
And Answers Latest Updated 2024.Guaranteed
Success For a Grade A+.
Cash collected from customers - Correct answer Gross profit
How is gross profit computed?
Sales minus cost of goods sold.
Sales minus operating expenses.
Cash minus dividends.
Total revenues minus total expenses. - Correct answer Sales minus cost of goods sold.
The following are some accounts from a company's financial statements:
-accounts receivable
-cost of goods sold
-cash
-retained earnings
-sales
-inventory
-income tax expense
-accounts payable
Which set is a list of all of the items that are used in computing this company's net income?
Cash, accounts receivable, and accounts payable.
Cash, retained earnings, and accounts payable.
Sales, cost of goods sold, and income tax expense.
Inventory, accounts payable, and retained earnings. - Correct answer Sales, cost of goods
sold, and income tax expense.
What cash flow category contains activities whereby cash is obtained from or repaid to owners
or creditors?
Financing
2
,WGU D102 Pre-Assessment Exam,64 Questions
And Answers Latest Updated 2024.Guaranteed
Success For a Grade A+.
Investing
Equity
Revenue - Correct answer Financing
Here are some financial statement items for the year for a company.
-Cash received from customers
-Cash received from the sale of land
-Cash paid for dividends
-Cash paid to employees for wages
-Cash paid to purchase a new building
-Cash paid for rent
-Cash received as new investment from owners
Which set of items is a list of items that are used in computing the company's financing cash
flow for the year?
Cash received from customers and cash paid for rent.
Cash paid to purchase a new building and cash received from the sale of land.
Cash paid for dividends and cash received as new investment from owners.
Cash received from customers, and cash paid to employees for wages. - Correct answer Cash
paid for dividends and cash received as new investment from owners.
Here are some financial statement items for a company.
-Net income
-Cash flow from financing activities
-Cash balance at the beginning of the year
-Sales Cash flow from investing activities
-Accounts receivable
-Retained earnings at the beginning of the year
-Cash flow from operating activities
3
, WGU D102 Pre-Assessment Exam,64 Questions
And Answers Latest Updated 2024.Guaranteed
Success For a Grade A+.
What items are used in computing the company's ending cash balance for the year?
Cash balance at the beginning of the year, net income, cash flow from investing activities, and
retained earnings at the beginning of the year.
Retained earnings at the beginning of the year, cash flow from operating activities, accounts
receivable, cash flow from investing activities, and cash flow from financing activities.
Net income, sales, cash flow from operating activities, cash flow from investing activities, and
cash flow from financing activities.
Cash balance at the beginning of the year, cash flow from operating activities, cash flow from
investing activities, and cash flow from financing activities. - Correct answer Cash balance at
the beginning of the year, cash flow from operating activities, cash flow from investing activities,
and cash flow from financing activities.
How is revenue typically recorded with debits and credits?
As a credit, representing a reduction in assets.
As a credit, representing an increase in equity.
As a debit, representing an increase in assets.
As a debit, representing a reduction in equity. - Correct answer As a credit, representing an
increase in equity.
What is the proper way to record an increase in an asset account and an increase in an equity
account?
Asset, credit; equity, debit
Asset, credit; equity, credit
Asset, debit; equity, debit
Asset, debit; equity, credit - Correct answer Asset, debit; equity, credit
A company was started last year when the shareholders invested $70,000 cash into it. At that
time, the company also borrowed $100,000 cash from a local bank. The company used
4
QUESTIONS AND ANSWERS LATEST
UPDATED 2024.GUARANTEED SUCCESS
FOR A GRADE A+.
What information is contained in a balance sheet?
Report of a company's financial position during a period of time.
Report of a company's operating performance as of a point in time.
Report of a company's financial position as of a point in time.
Report of a company's operating performance during a period of time. - Correct answer Report
of a company's financial position as of a point in time.
What is an owners' equity item?
Loans payable
Accounts receivable
Capital stock
Cash - Correct answer Capital stock
A company ended July with assets of $150,000 and owner's equity of $60,000.
What is the amount of liabilities at the end of July?
$60,000
$90,000
$150,000
$300,000 - Correct answer $90,000
What is reported in a multiple-step income statement that is not reported in a single-step income
statement?
Gross profit
Dividends
Retained earnings
1
,WGU D102 Pre-Assessment Exam,64 Questions
And Answers Latest Updated 2024.Guaranteed
Success For a Grade A+.
Cash collected from customers - Correct answer Gross profit
How is gross profit computed?
Sales minus cost of goods sold.
Sales minus operating expenses.
Cash minus dividends.
Total revenues minus total expenses. - Correct answer Sales minus cost of goods sold.
The following are some accounts from a company's financial statements:
-accounts receivable
-cost of goods sold
-cash
-retained earnings
-sales
-inventory
-income tax expense
-accounts payable
Which set is a list of all of the items that are used in computing this company's net income?
Cash, accounts receivable, and accounts payable.
Cash, retained earnings, and accounts payable.
Sales, cost of goods sold, and income tax expense.
Inventory, accounts payable, and retained earnings. - Correct answer Sales, cost of goods
sold, and income tax expense.
What cash flow category contains activities whereby cash is obtained from or repaid to owners
or creditors?
Financing
2
,WGU D102 Pre-Assessment Exam,64 Questions
And Answers Latest Updated 2024.Guaranteed
Success For a Grade A+.
Investing
Equity
Revenue - Correct answer Financing
Here are some financial statement items for the year for a company.
-Cash received from customers
-Cash received from the sale of land
-Cash paid for dividends
-Cash paid to employees for wages
-Cash paid to purchase a new building
-Cash paid for rent
-Cash received as new investment from owners
Which set of items is a list of items that are used in computing the company's financing cash
flow for the year?
Cash received from customers and cash paid for rent.
Cash paid to purchase a new building and cash received from the sale of land.
Cash paid for dividends and cash received as new investment from owners.
Cash received from customers, and cash paid to employees for wages. - Correct answer Cash
paid for dividends and cash received as new investment from owners.
Here are some financial statement items for a company.
-Net income
-Cash flow from financing activities
-Cash balance at the beginning of the year
-Sales Cash flow from investing activities
-Accounts receivable
-Retained earnings at the beginning of the year
-Cash flow from operating activities
3
, WGU D102 Pre-Assessment Exam,64 Questions
And Answers Latest Updated 2024.Guaranteed
Success For a Grade A+.
What items are used in computing the company's ending cash balance for the year?
Cash balance at the beginning of the year, net income, cash flow from investing activities, and
retained earnings at the beginning of the year.
Retained earnings at the beginning of the year, cash flow from operating activities, accounts
receivable, cash flow from investing activities, and cash flow from financing activities.
Net income, sales, cash flow from operating activities, cash flow from investing activities, and
cash flow from financing activities.
Cash balance at the beginning of the year, cash flow from operating activities, cash flow from
investing activities, and cash flow from financing activities. - Correct answer Cash balance at
the beginning of the year, cash flow from operating activities, cash flow from investing activities,
and cash flow from financing activities.
How is revenue typically recorded with debits and credits?
As a credit, representing a reduction in assets.
As a credit, representing an increase in equity.
As a debit, representing an increase in assets.
As a debit, representing a reduction in equity. - Correct answer As a credit, representing an
increase in equity.
What is the proper way to record an increase in an asset account and an increase in an equity
account?
Asset, credit; equity, debit
Asset, credit; equity, credit
Asset, debit; equity, debit
Asset, debit; equity, credit - Correct answer Asset, debit; equity, credit
A company was started last year when the shareholders invested $70,000 cash into it. At that
time, the company also borrowed $100,000 cash from a local bank. The company used
4
