WGU D076 FINANCE SKILLS FOR MANAGERS
MODULE 9 FINAL PAPER 2026 QUESTIONS
WITH FULL ANSWERS
◉ Marketing. Answer: The business function responsible for
generating sales.
◉ Sales. Answer: The top line of the income statement. The total
amount of money a business brings in (before subtracting out any
costs).
◉ Stakeholder. Answer: Anyone who may be affected by actions
taken or a decision made.
◉ What is the main purpose of charging interest?. Answer: It allows
borrowers to pay to use the assets of another entity to accomplish
their own goals.
◉ Interest rate. Answer: The percentage of the principal that a
lender charges a borrower for the use of assets.
,◉ APR (Annual Percentage Rate). Answer: The annual interest rate
that is charged for borrowing money or that is earned through
investment.
◉ Discount rate. Answer: The name for interest rate when used in
time value of money calculations.
◉ Cost of capital. Answer: The cost to a firm to use an investor's
capital; see interest rate.
◉ Simple Interest. Answer: The interest earned only on the
principal. Calculated: Annual Interest = principal X Interest rate X #
of periods
◉ Compound interest. Answer: The interest on the principal plus the
interest on earned interest. Calculate by: Total
Interest=Principal×(1+Interest Rate)Number of Periods−Principal
◉ Required Rate/ Rate of Return. Answer: The minimum return or
compensation an investor requires in order to invest; see interest
rate
◉ What are 3 components of Required Rate of Return. Answer: 1.
Opportunity cost
2. Risk
, 3. Inflation
◉ Opportunity cost. Answer: The loss of potential gain from other
alternatives when one alternative is chosen.
◉ Inflation. Answer: The rate at which the average price level of a
basket of chosen goods and services in an economy increases over a
period of time.
◉ What are 3 main sources of inflation?. Answer: 1. Increased
demand goods and services
2. Rising costs
3. Adaptive expectations
◉ Risk-free Rate. Answer: The rate of return on an investment with
no risk.
◉ Risk premium. Answer: The compensation for the amount of risk
taken on by investors.
◉ Nominal rate. Answer: The rate at which invested money grows
for a certain period of time.
MODULE 9 FINAL PAPER 2026 QUESTIONS
WITH FULL ANSWERS
◉ Marketing. Answer: The business function responsible for
generating sales.
◉ Sales. Answer: The top line of the income statement. The total
amount of money a business brings in (before subtracting out any
costs).
◉ Stakeholder. Answer: Anyone who may be affected by actions
taken or a decision made.
◉ What is the main purpose of charging interest?. Answer: It allows
borrowers to pay to use the assets of another entity to accomplish
their own goals.
◉ Interest rate. Answer: The percentage of the principal that a
lender charges a borrower for the use of assets.
,◉ APR (Annual Percentage Rate). Answer: The annual interest rate
that is charged for borrowing money or that is earned through
investment.
◉ Discount rate. Answer: The name for interest rate when used in
time value of money calculations.
◉ Cost of capital. Answer: The cost to a firm to use an investor's
capital; see interest rate.
◉ Simple Interest. Answer: The interest earned only on the
principal. Calculated: Annual Interest = principal X Interest rate X #
of periods
◉ Compound interest. Answer: The interest on the principal plus the
interest on earned interest. Calculate by: Total
Interest=Principal×(1+Interest Rate)Number of Periods−Principal
◉ Required Rate/ Rate of Return. Answer: The minimum return or
compensation an investor requires in order to invest; see interest
rate
◉ What are 3 components of Required Rate of Return. Answer: 1.
Opportunity cost
2. Risk
, 3. Inflation
◉ Opportunity cost. Answer: The loss of potential gain from other
alternatives when one alternative is chosen.
◉ Inflation. Answer: The rate at which the average price level of a
basket of chosen goods and services in an economy increases over a
period of time.
◉ What are 3 main sources of inflation?. Answer: 1. Increased
demand goods and services
2. Rising costs
3. Adaptive expectations
◉ Risk-free Rate. Answer: The rate of return on an investment with
no risk.
◉ Risk premium. Answer: The compensation for the amount of risk
taken on by investors.
◉ Nominal rate. Answer: The rate at which invested money grows
for a certain period of time.
