WGU D196 ACCT 2020 Principles of Financial & Managerial Accounting Final Assessment (Qns & Ans) 2026
1. Which of the following is a primary objective of financial
accounting?
- A. To provide information for internal decision-making
- B. To prepare budgets and forecasts
- C. To provide financial information to external users
- D. To manage cash flows
- ANS: C. To provide financial information to external users
- Rationale: Financial accounting focuses on providing
financial information to external users such as investors, creditors,
and regulatory agencies.
2. What is the main purpose of managerial accounting?
- A. To comply with regulatory requirements
- B. To provide information for internal decision-making
- C. To prepare financial statements
- D. To calculate taxes owed
- ANS: B. To provide information for internal decisionmaking
- Rationale: Managerial accounting provides information to
managers within the organization to assist in planning,
controlling, and decision-making.
3. Which of the following best describes the concept of 'cost
behavior'?
- A. The way costs change in response to changes in production
levels
- B. The allocation of costs to different departments
- C. The classification of costs as fixed or variable
- D. The process of budgeting costs
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