Which of the following items has no effect on retained earnings?
A) dividends
B) expense
C) revenue
D) hiring a new employee

Name: Which of the following items has no effect on retained earnings? A) dividends B) expense C) revenue D) hiring a new employee
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Question

Quizplus · Accepted Answer

Hiring a new employee is an expense that affects the company's net income, but it does not have a direct impact on retained earnings. Retained earnings are affected by revenues, expenses, and dividends.

Which of the Following Items Has No Effect on Retained