100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
Previously searched by you
Previously searched by you
logo
WGU C214 Multiple Attempt Study Guide 2024/2025 already graded A+ $9.99   Add to cart
Quickly navigate to
Preview
  2.  
  3. Financial Management
  4.  
  5. Financial management

Exam (elaborations)

WGU C214 Multiple Attempt Study Guide 2024/2025 already graded A+
 9 views  0 purchase
  • Course
  • Financial management
  • Institution
  • Financial Management

WGU C214 Multiple Attempt Study Guide 2024/2025 already graded A+

Preview 2 out of 8  pages

Document information

  • March 5, 2024
  • 8
  • 2023/2024
  • Exam (elaborations)
  • Questions & answers

Subjects

  • financial management
  • what standards are used to help us investors under
  • describe what an income statement is in one senten
  • net income 121000 depreciation expense 4000 acco

Written for

  • Financial management
  • Financial management

Seller

avatar-seller
Ashley96

Reviews received

Content preview

WGU C214 Multiple Attempt Study Guide

What standards are used to help US investors understand and compare foreign financial
statements to domestic financial statements? - ANSInternational Financial Reporting Standards

When a company is optimizing its resources and maintaining or improving productivity, they are
engaging in what hypothesis - ANSEfficient Market Hypothesis

What is the basic type of negotiable debt? - ANSBonds

What is the characteristic of a stock sold in the secondary markets? - ANSStocks sold in the
secondary markets are traded after the initial offering.

If a company is engaged in lobbying for tariffs and trade restrictions, if they are successful, what
are the two principal impacts? - ANSProtection for the lobbyist and higher prices for the
consumer pre reduced competition.

Describe what an income statement is in one sentence? - ANSIt covers a period of time and
starts with sales, takes out expenses, and ends with net income.

What is the difference between taxable income and accounting income? - ANSAccounting
income is reported as net income on the income statement whereas Taxable income is used to
determine the amount of tax a firm must pay.

Net Income 15,000
Depreciation Exp 2,000
Change in Operating Assets 1,200
Change in PP&E 2,000
Change in long-term liab. 1,200
Dividends paid 1,500
What is the Cash Flow from Financing? - ANSCFF= Incr Stock + Incr Debt -Dividends Paid
= 1200-1500
= -300

Net Income 121,000
Depreciation Expense 4,000
Accounts Receivable (30,000)
Change in net PP&E 15,000
Accounts Payable (5,000)
New Bank Loan 12,000
Dividends Paid 1,500

, What is the Cash Flow from Investing? - ANSCFI = Change in Net PPE + Depreciation Expense
= 15,000 + 4,000
= 19,000

A grandmother sets up a trust for her grandson. She desires him to receive $20,000 per year.
Her investment advisor finds an investment vehicle that
will yield 7%. How much will the grandmother have to put into the investment? - ANS20000/.07=
140*12 =1680.00

What is the number of payments of a semi-annual bond if the number of years remaining are
12? - ANSThere are 24 semi-annual payments remaining

bWhat is the expected rate of return for a stock that has a eta of 2.1. The market rate is 8.5%
with a risk free rate of 2%. - ANSE[R]=Rf + B(Rm - Rf)
=2% + 2.1(8.5%-2.0%)
=.02 + 2.1(0.0850-.02)
=.01565 or 15.65%

A company has a trial balance that shows $13,000 in bonds payable. On which financial
statement should this be shown? - ANSThis would be shown on the Balance Sheet under Long
Term Liabilities

Which is the principal account comprising Cash Flow from Investing - ANSThe principal account
for CFI is PP& E

What is the cash effect on the Statement of Cash Flow when current liabilities decline? -
ANSResults in a decrease in cash

If two companies use different inventory valuation methods, what difference would that be called
in calculating net income? - ANSAccounting Difference

There are two competitors. The gross margin for Green Company is .45. The gross margin for
Red Company is .40 Which company has a more productive manufacturing process? Why? -
ANSGreen company has a more productive manufacturing process because the high gross
margins are usually associated with and efficient production process.

What is the current ratio given a balance sheet with the following account balances:
Cash 10,000
Accounts Receivable 252,000
PP&E 725,000
Accounts Payable 93,000
Bank Loan 425,000
Common Stock 1,000,000 - ANSCurrent Ratio = Current Assets/Current Liabilities
=10000 + 252000/93000

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

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

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

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 Ashley96. 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.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

79373 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 14 years now

Start selling
$9.99
  • (0)
  Add to cart