WGU D774 - PA | 2025 UPDATE |
QUESTIONS WITH COMPLETE SOLUTIONS.
1 of 62
Term
A company budgets $100,000 for monthly sales but records actual
sales of $85,000. What does this variance indicate?
Give this one a try later!
A pricing variance, meaning A favorable variance, meaning the
company performed better than
product costs increased
expected
, An unfavorable variance, No variance, since actual sales
meaning the company earned were close to the budgeted
less revenue than planned amount
Don't know?
2 of 62
Term
The IT department of a company consistently receives a 3% budget
increase each year without a detailed review of individual expenses.
What is a potential drawback of this budgeting method?
Give this one a try later!
It leads to unpredictable spending. It encourages innovation.
It may perpetuate
inefficiencies.
Don't know?
3 of 62
Term
Which year is associated with the stock market crash that had a
profound economic impact?
Give this one a try later!
, 2008 1918
1929 1945
Don't know?
4 of 62
Term
A manufacturing company's direct labor cost per unit is $18.
Management estimates that production in the following month will
decrease by 23%. How should total direct labor cost next month be
impacted?
Give this one a try later!
It should increase due to economies
of scale. It should decrease by 23%.
It should decrease but by less
It should remain the same. than 23%.
Don't know?
5 of 62
Term
, Which statement explains the relationship between the balance
sheet and the statement of cash flows?
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The statement of cash flows The statement of cash flows
reconciles the balance sheet's net reconciles the total assets in
income. the balance sheet.
The statement of cash flows The statement of cash
reconciles equity balance in the flows reconciles the cash
balance sheet. balance that is reported
on the
balance sheet.
Don't know?
6 of 62
Term
A company produces shoes and has expenses that include the
CEO's salary, marketing, rubber, and leather. Which approach
would be correct for calculating product costs?
Give this one a try later!
Sum the marketing cost and cost of
Sum marketing cost and CEO salary leather
Sum the cost of rubber and Sum the cost of rubber and CEO
leather salary
QUESTIONS WITH COMPLETE SOLUTIONS.
1 of 62
Term
A company budgets $100,000 for monthly sales but records actual
sales of $85,000. What does this variance indicate?
Give this one a try later!
A pricing variance, meaning A favorable variance, meaning the
company performed better than
product costs increased
expected
, An unfavorable variance, No variance, since actual sales
meaning the company earned were close to the budgeted
less revenue than planned amount
Don't know?
2 of 62
Term
The IT department of a company consistently receives a 3% budget
increase each year without a detailed review of individual expenses.
What is a potential drawback of this budgeting method?
Give this one a try later!
It leads to unpredictable spending. It encourages innovation.
It may perpetuate
inefficiencies.
Don't know?
3 of 62
Term
Which year is associated with the stock market crash that had a
profound economic impact?
Give this one a try later!
, 2008 1918
1929 1945
Don't know?
4 of 62
Term
A manufacturing company's direct labor cost per unit is $18.
Management estimates that production in the following month will
decrease by 23%. How should total direct labor cost next month be
impacted?
Give this one a try later!
It should increase due to economies
of scale. It should decrease by 23%.
It should decrease but by less
It should remain the same. than 23%.
Don't know?
5 of 62
Term
, Which statement explains the relationship between the balance
sheet and the statement of cash flows?
Give this one a try later!
The statement of cash flows The statement of cash flows
reconciles the balance sheet's net reconciles the total assets in
income. the balance sheet.
The statement of cash flows The statement of cash
reconciles equity balance in the flows reconciles the cash
balance sheet. balance that is reported
on the
balance sheet.
Don't know?
6 of 62
Term
A company produces shoes and has expenses that include the
CEO's salary, marketing, rubber, and leather. Which approach
would be correct for calculating product costs?
Give this one a try later!
Sum the marketing cost and cost of
Sum marketing cost and CEO salary leather
Sum the cost of rubber and Sum the cost of rubber and CEO
leather salary
