WGU C214 (WGUC214)

WGU C214 OA Financial Management Exam (2024/2025) Newest Questions and Answers (Verified Answers)

What is included in the Income Statement and NOT in the Statement of Cash Flows? - Depreciation Expense Computation of Net Income: A co. sold products in 2014 for $120k and collected $100k cash and remainder in 2015. Co. incurred $70k expenses for 2014 and paid $100k which included $30k for expenses incurred in 2013. What is net income for 2014? - Computation of Net Income (R-E=NI) $50,000 Net Income = $120k - $70k = $50k, or Revenues - Expenses Incurred = Net Income Retained Earning S...

Trading on the NYSE is executed without a specialist (i.e. a market maker). (T/F) - False Stocks and bonds are two types of financial instruments (T/F) - True The matching principle in accrual accounting requires that: - Revenues be recognized when the earnings process is complete and matches expenses to revenues recognized. A basic equation for the balance sheet is: - Equity = Assets - Liabilities Why is the Balance Sheet known as a permanent statement? - Because the other statements ar...

Trading on the NYSE is executed without a specialist (i.e. a market maker). True or False? - False Stocks and bonds are two types of financial instruments (T/F) - True The matching principle in accrual accounting requires that: - Revenues be recognized when the earnings process is complete and matches expenses to revenues recognized. A basic equation for the balance sheet is: - Equity = Assets - Liabilities Why is the Balance Sheet known as a permanent statement? - Because the other stat...

How does the weighted average cost of capital affect a company's growth opportunities? The lower the cost of capital, the greater the growth opportunities Stocks and bonds are two types of financial instruments (T/F) T The matching principle in accrual accounting requires that: Revenues be recognized when the earnings process is complete and matches expenses to revenues recognized. A basic equation for the balance sheet is: Equity = Assets - Liabilities Why is the Balance Sheet known ...

The stock price of a company increases and the market is deemed efficient What assumption can be made? - A new, patented, product was introduced to the market Which statement is true about how the global market affects the U.S. - Foreign investors and fund managers make decisions based on financial reporting standards financial statements audited overseas. What are secondary markets? - Markets where securities are traded subsequent to the initial offering. A special interest group in the...

The stock price of a company increases and the market is deemed efficient. What assumption can be made? A new, patented, product was introduced to the market. Which statement is true about how the global market affects the U.S. Foreign investors and fund managers make decisions based on financial reporting standards developed and financial statements audited overseas. What are secondary markets? Markets where securities are traded subsequent to the initial offering. A special interest g...

1. The stock price of a company increases and the market is deemed efficient. What assumption can be made? A. A new, patented, product was introduced to the market. B. New machinery was purchased with a useful life of 20 years. C. Management is optimizing its resources and operating efficiently. D. Management hired new employees and invested in a training program. 2. Which statement is true about how the global market affects the U.S. A. A bad options trade executed by a foreign subsidiary...

What does the Foreign Corrupt Practice Act forbid companies to do? - The Foreign Corrupt Practices Act 1977, as amended, 15 U.S.C. was enacted for the purpose of making it unlawful for certain classes of persons and entities to make payments to foreign government officials to assist in obtaining or retaining business. What are two basic types of financial instruments? - Stocks and bonds What are secondary markets? - A secondary market is when you buy and sell stock in the stock exchange. ...

Globalization - is the shift toward a more integrated and interdependent economy globalization of production versus markets, drivers, debate, critics - the tendency among many firms to source goods and services from different locations around the globe in an attempt to take advantage of national differences in the cost and quality of factors of production (such as land, labor, capital, and energy), thereby allowing them to compete more effectively against their rivals. Examples: Boeing Len...

Which view claims that the phenomenon of globalization was initially driven by the desire of Western economies to exploit their power through multinational enterprises? - The new force view Economic gains come from international trade because one country's exported goods, services or other items are unique, valuable, and difficult to duplicate to importing country - Resource-based view What is the aggregation of importing and exporting that leads to the country-level trade surplus or def...