Multiple choice

1. (TCO 1) Which of the following would not be considered an internal user of accounting data for a company? (Points : 4) 

President of a company

Controller of a company

Creditor of a company

Salesperson of a company

2. (TCO 1) Resources owned by a business are referred to as _________. (Points : 4) 

stockholders’ equity.

liabilities.

assets.

revenues.

3. (TCO 1) To show how successfully your business performed during a period of time, you would report its revenues and expenses in the _________. (Points : 4) 

balance sheet.

income statement.

statement of cash flows.

retained earnings statement.

4. (TCO 1) Henson Company began the year with retained earnings of $175,000. During the year, the company recorded revenues of $250,000, expenses of $190,000, and paid dividends of $20,000. What was Henson’s retained earnings at the end of the year? (Points : 4) 

$255,000

$215,000

$405,000

$235,000