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D076 WGU Finance Skills for Managers Module 9 exams passed £7.49   Add to cart

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D076 WGU Finance Skills for Managers Module 9 exams passed

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Balance Sheet Forecasting - Using sales growth and the profit forecast to construct a pro forma balance sheet to understand the future implications of the sources and uses of finances Discretionary accounts - Accounts that do not vary proportionally with sales but are decided upon by management ...

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  • February 3, 2024
  • 3
  • 2023/2024
  • Exam (elaborations)
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D076 WGU Finance Skills for Managers
Module 9 exams passed
Balance Sheet Forecasting - ✔✔✔Using sales growth and the profit forecast to construct a pro forma
balance sheet to understand the future implications of the sources and uses of finances



Discretionary accounts - ✔✔✔Accounts that do not vary proportionally with sales but are decided
upon by management



Discretionary Financing Needed (DFN) - ✔✔✔The additional financing needed given a firm's
expectations for future growth



How can a firm grow its fixed assets if it is expecting growth but has reached capacity with its fixed
assets? - ✔✔✔Invest a substantial amount of money at one time to increase capacity



If a company expects sales to grow by 10% next year, which account might also increase by 10%? - ✔✔
✔Cost of goods sold



Payout Ratio - ✔✔✔The percent of net income distributed to the shareholders



Pro Forma Statements - ✔✔✔A financial statement that projects an estimate for future periods "as if"
sales grew as predicted



Profit forecasting - ✔✔✔the projection of future earnings after all the projected costs are subtracted
from the projected sales



Retention Ratio - ✔✔✔The percent of net income retained in the firm; also called the plowback ratio



Spontaneous accounts - ✔✔✔Accounts that vary proportionally with sales

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