Which of the Following Explains the Change in Retained Earnings

question 87

Multiple Choice

Which of the following explains the change in Retained Earnings from the beginning of the year to the end of the year?

• A) revenues and expenses
• B) contributions by owners
• C) purchases of inventory
• D) a purchase of a plant asset

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Definitions:

Internal Controls

Mechanisms and procedures implemented within an organization to ensure the integrity of financial and accounting information, promote accountability, and prevent fraud.

Ethics Audit

A systematic evaluation of an organization's moral framework, practices, and culture to identify strengths and areas for improvement in promoting ethical behavior.

Differential Association

A theory proposing that individuals learn values, attitudes, techniques, and motives for criminal behavior through interaction with others.

Cultural Audit

An evaluation process that systematically examines the culture of an organization, assessing values, behaviors, practices, and policies to determine alignment with desired objectives.