Which of the Following Items Has No Effect on Retained

question 95

Multiple Choice

Which of the following items has no effect on retained earnings?

• A)expenses
• B)dividends
• C)revenues
• D)hiring a new employee

---

Definitions:

Owner's Equity

Refers to the residual interest in the assets of a company after deducting liabilities, representing the ownership interest.

Property Plant and Equipment

Durable physical assets that are utilized in running a business and are not meant to be sold.

Intangible Assets

Non-physical assets that have value due to the rights or information they provide, such as trademarks, patents, and goodwill.

Net Income

The total earnings of a company after subtracting all expenses, including taxes and operating expenses.