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Financial Forensics · Quiz 1 · 26 Oct 2025 · September 2025 term

Question 2: Beacon, Incorporated reported the following amounts at th…

Question 2

+1 markOne correct option

Beacon, Incorporated reported the following amounts at the end of the first year of operations:

Common stock$ 316,000
Sales revenue$ 1,264,000
Total assets$ 948,000
Dividends declared$ 68,000
Total liabilities$ 330,000

What are the retained earnings of Beacon at the end of the year, and what amount of expenses were incurred during the year?

  1. A

    Retained earnings are $302,000 and expenses incurred totaled $894,000.

  2. B

    Retained earnings are $302,000 and expenses incurred totaled $962,000.

  3. C

    Retained earnings are $618,000 and expenses incurred totaled $646,000

  4. D

    Retained earnings are $618,000 and expenses incurred totaled $934,000.

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Correct answer

  • A

    Retained earnings are $302,000 and expenses incurred totaled $894,000.

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Question 2 of 25 in the IIT Madras BS Financial Forensics (Financial Forensics) Quiz 1 paper sat on 26 Oct 2025, in the September 2025 term (IIT M DEGREE AN EXAM QDB2 26 Oct 2025). It carries 1 mark.

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