When preparing the financial statements:
A) the balance sheet lists the balance of the asset accounts at the end of the period.
B) retained earnings is included in common stock.
C) data for the statement of cash flows can be found under the retained earnings account.
D) data for the income statement is found under the Cash account.

Question

Quizplus · Accepted Answer

The balance sheet lists the balances of assets, liabilities, and equity accounts at the end of the period.

Answer: None of the above
 Retained earnings is a separate account from common stock and represents the accumulated earnings of the company over time. Data for the statement of cash flows is found in the cash account and other accounts that affect cash, such as accounts receivable and accounts payable.

When Preparing the Financial Statements