Which of the Following Items Will Be Found in a Corporate

question 105

Multiple Choice

Which of the following items will be found in a corporate annual report?

• A)industry standards
• B)notes to the financial statements
• C)selected financial data from non-competitor companies
• D)management's statement that the auditors are responsible for the financial statements.

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Definitions:

Liabilities

Economic obligations or debts that an entity is required to pay to another party.

Owner's Equity

The net assets belonging to shareholders or owners of an entity after liabilities are accounted for, denoting their ownership claim.

Net Income

The company's net income, which is the remainder after deducting all expenses, taxes, and costs from the gross revenue.

Drawings

The act of the business owner taking out money or assets from the enterprise for private use.