WGU 214. FINANCIAL MANAGEMENT PVCC UPDATED ACTUAL Exam Questions and CORRECT Answers
3 views 0 purchase
Course
WGU 214. FINANCIAL MANAGEMENT PVCC
Institution
WGU 214. FINANCIAL MANAGEMENT PVCC
WGU 214. FINANCIAL MANAGEMENT
PVCC UPDATED ACTUAL Exam
Questions and CORRECT Answers
How can a private firm appropriately maximize shareholder value? - CORRECT ANSWER-
By making decisions that keep the control of the business with the owners
Why are American regulators focused on internation...
WGU 214. FINANCIAL MANAGEMENT
PVCC UPDATED ACTUAL Exam
Questions and CORRECT Answers
How can a private firm appropriately maximize shareholder value? - CORRECT ANSWER-
✔✔By making decisions that keep the control of the business with the owners
Why are American regulators focused on international investing in a global marketplace? -
CORRECT ANSWER- ✔✔Because American investors are focused on international
investing in a global marketplace
What is one of the two basic types of financial instruments? - CORRECT ANSWER-
✔✔Bonds
If a company outsources the manufacturing of its products to a foreign country, what are the
likeliest outcomes?
Choose 2 answers - CORRECT ANSWER- ✔✔Consumer prices will decrease. Domestic
employment will decrease.
What is true about the content and structure of a balance sheet? - CORRECT ANSWER-
✔✔It reports the assets, liabilities, and equity at a point in time.
A company reported an increase in accounts receivable of $5,000 during the recent period.
Half of this amount is expected to be collected next period.
How will this change in accounts receivable affect the cash flows from the operating
activities section? - CORRECT ANSWER- ✔✔The change will decrease cash flows from
operations by $5,000.
Which statement accurately explains the recognition of revenues and expenses under
accounting income and income for tax purposes? - CORRECT ANSWER- ✔✔Revenues and
expenses may be recognized in one period for accounting income purposes and in a different
period for income tax purposes.
, Selected Data for 20x2 for ABD Inc.
Net income $ 1,000
Depreciation expense $ 300
Change in operating assets $ 600
Change in net property, plant, and equipment $ 5,000
Changes in long-term liabilities $ 1,000
Dividends paid $ 200
What is the firm's cash flow from investments, using the data above and assuming no asset
disposals? - CORRECT ANSWER- ✔✔$5,300 outflow
What is the basic equation for a balance sheet? - CORRECT ANSWER- ✔✔Assets =
Liabilities + Equity
What do cash flows from investing activities generally relate to? - CORRECT ANSWER-
✔✔A firm's purchase and sale of long-term assets
Which transaction is reflected in cash flow from operating activities? - CORRECT
ANSWER- ✔✔Cash sales to customers
What does free cash flow represent? - CORRECT ANSWER- ✔✔Cash available for
distribution after funding required reinvestment
An analyst is comparing the ratios of two firms and needs to address timing differences.
What would be considered an example of a timing difference between the two firms? -
CORRECT ANSWER- ✔✔The firms have different fiscal years.
A company's year-end balance sheet for 2013 shows the following:
Accounts receivable: $900
Inventory: $1200
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller MGRADES. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $9.99. You're not tied to anything after your purchase.
