Help with financial accounting?
The beginning balance of retained earnings was $7500. The dividends paid to stockholders were $1500. the ending balance of retained earnings is $5000. what was the net income of net loss for the accounting period?
a. Net loss of $1000
b. Net income of $1000
c. Net loss of $2000
d. Net income of $2500
Which organization has the responsibility of developing generally accepted accounting principles (GAAP)?
a. American Institute of Certified Public Accountants
b. Financial Accounting Standards Board
c. Securities and Exchange Commission
d. Internal Revenue Service
The primary purpose of an audit of the financial reports of a company is to
a. Uncover fraud
b. Determine who is guilty of malpractice
c. Determine whether the financial reports conform to GAAP
d. Examine every document and transaction to verify it was accurately reported
Be the first to answer this question.