Wgu D076 Oa Questions And Answers Verified 100%

What is the main objective of personal financial goals? A. To maximize stock investments B. To maximize individual utility C. To maximize charity donations D. To maximize owner wealth {Ans: B. To maximize individual utility}In which type of market would a company issue bonds or stocks for the first time? Dealer market Primary market Secondary market Money market {Ans: Primary market}Why might a firm prefer to raise debt capital through bonds instead of stocks? Bonds have no expiration date. Bonds do not require a firm to give up any ownership. Bonds take advantage of upside potential. Bonds do not require the firm to pay back its loan. {Ans: Bonds do not require a firm to give up any ownership.}Which scenario correctly describes opportunity cost? Donatello has a side business making sculptures in addition to his regular job. If he spends more time on his side business, the opportunity cost is the money he makes from selling his sculptures. Caroline makes $25 an hour. Instead of working one night, she goes to a concert that costs $50 and lasts two hours. The opportunity cost of the concert is $50. Alexandra decides to spend $50 on some new clothes