WGU D196 ACTUAL TEST PAPER
COMPLETE QUESTIONS AND SOLUTIONS
TESTED ANSWERS
◉ Contribution Margin Ratio
Answer: The percentage of net sales revenue left after variable costs
are deducted; the contribution margin divided by net sales revenue.
◉ Controllable Costs
Answer: Costs over which a manager has direct authority and can
change.
◉ Controlling
Answer: Tracking the actual performance of a company.
◉ Cost Accountant
Answer: An accountant who is specially trained to prepare and
analyze accounting information for internal decision-making.
◉ Cost Behavior
Answer: The way a cost is affected by changes in activity levels.
,◉ Cost Center
Answer: An organizational unit in which a manager has control over
and is held accountable for cost performance.
◉ Cost Drivers
Answer: A numerical measure used to reflect the amount of a
specific cost that is associated with a particular activity.
◉ Cost Objects
Answer: An output of a business, such as a product, service, or
division.
◉ Cost Pool
Answer: Total cost being generated by a specific overhead cost
activity.
◉ Cost Variance
Answer: A difference between the actual cost and the budgeted cost.
◉ Cost of Goods Manufactured Statement
Answer: A schedule supporting the income statement that
summarizes the total cost of goods manufactured and transferred
out of the work-inprocess inventory account during a period. These
, costs include direct materials, direct labor, and applied
manufacturing overhead.
◉ Cost of Goods Sold Statement
Answer: A statement that sums the cost of goods sold for an
accounting period based on the cost of goods sold formula.
◉ Cost-volume-profit (C-V-P) Analysis
Answer: Techniques for determining how changes in revenues, costs,
and level of activity affect the profitability of an organization.
◉ Current Assets
Answer: Cash and other assets that are expected to be converted to
cash within a year.
◉ Current Liabilities
Answer: Liabilities expected to be satisfied within a year or the
current operating cycle, whichever is longer.
◉ Decentralized Company
Answer: An organization in which managers at all levels have the
authority to make decisions concerning the operations for which
they are responsible.
COMPLETE QUESTIONS AND SOLUTIONS
TESTED ANSWERS
◉ Contribution Margin Ratio
Answer: The percentage of net sales revenue left after variable costs
are deducted; the contribution margin divided by net sales revenue.
◉ Controllable Costs
Answer: Costs over which a manager has direct authority and can
change.
◉ Controlling
Answer: Tracking the actual performance of a company.
◉ Cost Accountant
Answer: An accountant who is specially trained to prepare and
analyze accounting information for internal decision-making.
◉ Cost Behavior
Answer: The way a cost is affected by changes in activity levels.
,◉ Cost Center
Answer: An organizational unit in which a manager has control over
and is held accountable for cost performance.
◉ Cost Drivers
Answer: A numerical measure used to reflect the amount of a
specific cost that is associated with a particular activity.
◉ Cost Objects
Answer: An output of a business, such as a product, service, or
division.
◉ Cost Pool
Answer: Total cost being generated by a specific overhead cost
activity.
◉ Cost Variance
Answer: A difference between the actual cost and the budgeted cost.
◉ Cost of Goods Manufactured Statement
Answer: A schedule supporting the income statement that
summarizes the total cost of goods manufactured and transferred
out of the work-inprocess inventory account during a period. These
, costs include direct materials, direct labor, and applied
manufacturing overhead.
◉ Cost of Goods Sold Statement
Answer: A statement that sums the cost of goods sold for an
accounting period based on the cost of goods sold formula.
◉ Cost-volume-profit (C-V-P) Analysis
Answer: Techniques for determining how changes in revenues, costs,
and level of activity affect the profitability of an organization.
◉ Current Assets
Answer: Cash and other assets that are expected to be converted to
cash within a year.
◉ Current Liabilities
Answer: Liabilities expected to be satisfied within a year or the
current operating cycle, whichever is longer.
◉ Decentralized Company
Answer: An organization in which managers at all levels have the
authority to make decisions concerning the operations for which
they are responsible.
