WGU Financial-Management Exam : WGU Financial Management VBC1

  • Exam Code: Financial-Management
  • Exam Name: WGU Financial Management VBC1
  • Updated: Jul 02, 2026
  • Q & A: 86 Questions and Answers

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WGU Financial Management VBC1 Sample Questions:

1. What is a benefit of a firm extending credit to customers in a competitive market?

A) Immediate cash inflows from sales
B) Increased sales to non-cash buyers
C) Reduced customer base due to credit terms
D) Decreased sales due to increased prices


2. Which type of security has voting rights associated with it?

A) Common stock
B) Convertible note
C) Secured bond
D) Preferred stock


3. Which requirement does the Sarbanes-Oxley Act (SOX) impose on company executives?

A) Assume responsibility for the company's debts
B) Hold an accounting certification
C) Divest all personal company shares
D) Certify the accuracy of financial information


4. Rusty RoboTech, a robotics technology company, has provided the following financial information for the year 20X3:
* Sales Revenue: $500,000
* Net Income: $50,000
* Dividend Payout: 40% of Net Income
* Total Assets at the beginning of 20X3: $300,000
* Total Liabilities at the beginning of 20X3: $150,000
* Equity at the beginning of 20X3: $150,000
* Historical Cash-to-Sales Ratio: 5%
* Accounts Receivable-to-Sales Ratio: 15%
* Inventory-to-Sales Ratio: 25%
* Cost of Goods Sold-to-Sales Ratio: 43%
For the year 20X4, Rusty RoboTech projects a 20% increase in sales revenue. Other ratios and the dividend policy are expected to remain the same.
What is the projected inventory value for Rusty RoboTech at the beginning of 20X4?

A) $130,000
B) $150,000
C) $140,000
D) $120,000


5. To answer this question, refer to the cash flow worksheet and the internal rate of return (IRR) calculations.
The hospital is only interested in accepting projects with an IRR that exceeds 11%. Assuming the hospital has sufficient capital for both projects and is willing to invest for up to 10 years, which project(s) would the hospital accept?

A) Both Project A and Project B
B) Neither Project A nor Project B
C) Project A
D) Project B


Solutions:

Question # 1
Answer: B
Question # 2
Answer: A
Question # 3
Answer: D
Question # 4
Answer: B
Question # 5
Answer: A

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