WGU D102 FINANCIAL ACCOUNTING
COMPREHENSIVE PRE ASSESSMENT 2026
QUESTIONS WITH VERIFIED SOLUTIONS
ALREADY PASSED
⩥ Accounts Receivable. Answer: A current asset representing money due
for services performed or merchandise sold on credit
⩥ On August 1 of Year 1, a company paid $7,200 for two years' rent.
The rental period starts on August 1 of Year 1.
Which debit or credit is correctly included in the adjusting journal entry
necessary on December 31 of Year 1?. Answer: 1. Credit to rent expense
for $1,500.
2. Credit to prepaid rent for $5,100.
3. Debit to rent expense for $1,500.
4. Debit to rent expense for $5,100.
Correct: 3
⩥ On October 1 of Year 1, a company made a $60,000 cash loan to
another company. The interest rate on the loan is 5%. No cash payments
will be collected on the loan until September 30 of Year 2.
,Which debit or credit is correctly included in the adjusting journal entry
necessary on the company's books (the lender) on December 31 with
respect to this loan?. Answer: 1. Credit to interest revenue for $750.
2. Debit to interest revenue for $2,250.
3. Credit to interest revenue for $2,250.
4. Debit to interest revenue for $750.
Correct: 2
⩥ On January 1, a company had office supplies costing $4,600. During
the year, the company bought (and recorded) additional office supplies
costing $9,900. On December 31, a physical count of office supplies
revealed that supplies costing $2,900 remained.
Which debit or credit is correctly included in the adjusting journal entry
necessary on December 31 to record the supplies that the company used
during the year?. Answer: 1. Credit to office supplies expense for
$11,600.
2. Debit to office supplies for $11,600.
3. Credit to office supplies for $11,600.
4. Debit to cash for $11,600.
Correct: 3
, ⩥ At the end of the year, before any closing entries are made, which
account has a debit balance?. Answer: Cost of goods sold
⩥ Revenues: Credit or Debit on the book?. Answer: Credits; they
represent increases of equity
⩥ Expenses and Dividends: Credit or Debit on the books?. Answer:
Debits; they represent decreases in equity
⩥ Steps to closing Entries:. Answer: 1. Separate Nominal accounts from
real accounts
2. Debit or credit each nominal account to make the balance = 0
3. Corresponding debit or credit to Retained Earnings
⩥ How is the ending retained earnings calculated?. Answer: Beginning
retained earnings + Net Income - Dividends
⩥ Net Income. Answer: the difference between total revenue and total
expenses
⩥ On January 6, a credit sale was made for $1,000. Terms for the sale
were 4/10, n/30. Cash for the sale was collected on January 25.
COMPREHENSIVE PRE ASSESSMENT 2026
QUESTIONS WITH VERIFIED SOLUTIONS
ALREADY PASSED
⩥ Accounts Receivable. Answer: A current asset representing money due
for services performed or merchandise sold on credit
⩥ On August 1 of Year 1, a company paid $7,200 for two years' rent.
The rental period starts on August 1 of Year 1.
Which debit or credit is correctly included in the adjusting journal entry
necessary on December 31 of Year 1?. Answer: 1. Credit to rent expense
for $1,500.
2. Credit to prepaid rent for $5,100.
3. Debit to rent expense for $1,500.
4. Debit to rent expense for $5,100.
Correct: 3
⩥ On October 1 of Year 1, a company made a $60,000 cash loan to
another company. The interest rate on the loan is 5%. No cash payments
will be collected on the loan until September 30 of Year 2.
,Which debit or credit is correctly included in the adjusting journal entry
necessary on the company's books (the lender) on December 31 with
respect to this loan?. Answer: 1. Credit to interest revenue for $750.
2. Debit to interest revenue for $2,250.
3. Credit to interest revenue for $2,250.
4. Debit to interest revenue for $750.
Correct: 2
⩥ On January 1, a company had office supplies costing $4,600. During
the year, the company bought (and recorded) additional office supplies
costing $9,900. On December 31, a physical count of office supplies
revealed that supplies costing $2,900 remained.
Which debit or credit is correctly included in the adjusting journal entry
necessary on December 31 to record the supplies that the company used
during the year?. Answer: 1. Credit to office supplies expense for
$11,600.
2. Debit to office supplies for $11,600.
3. Credit to office supplies for $11,600.
4. Debit to cash for $11,600.
Correct: 3
, ⩥ At the end of the year, before any closing entries are made, which
account has a debit balance?. Answer: Cost of goods sold
⩥ Revenues: Credit or Debit on the book?. Answer: Credits; they
represent increases of equity
⩥ Expenses and Dividends: Credit or Debit on the books?. Answer:
Debits; they represent decreases in equity
⩥ Steps to closing Entries:. Answer: 1. Separate Nominal accounts from
real accounts
2. Debit or credit each nominal account to make the balance = 0
3. Corresponding debit or credit to Retained Earnings
⩥ How is the ending retained earnings calculated?. Answer: Beginning
retained earnings + Net Income - Dividends
⩥ Net Income. Answer: the difference between total revenue and total
expenses
⩥ On January 6, a credit sale was made for $1,000. Terms for the sale
were 4/10, n/30. Cash for the sale was collected on January 25.
