Answer to Question #229526 in Economics for Millicent

Question

Identify the statement that is likely to be true, for a company making profits?

Select one:

a. Retained profits at the year-end will be greater than shareholders' equity.

b. The operating profit will be less than the profit for the year.

c. The profit for the year will be greater than the gross profit.

d. Retained profits at the year-end will be greater than retained profits at the beginning of the year.

Answer 1

d. Retained profits at the year-end will be greater than retained profits at the beginning of the year.