1. The area of accounting aimed at serving the decision-making needs of internal users is A) financial accounting. B) managerial accounting. C) external auditing. D) bookkeeping. 2. An asset created by prepayment of an expense is A) recorded as a debit to an unearned revenue account. B) recorded as a credit to an unearned revenue account. C) recorded as a debit to a prepaid expense account. D) recorded as a credit to a prepaid expense account. 3. If as an investor, you wanted to know how much assets were owned by a company, which financial statement would you examine? A) Balance sheet B) Income statement C) Statement of cash flows D) Statement of owner's equity 4. All of the following are permanent accounts except A) accounts receivable. B) unearned revenue. C) interest income. D) prepaid expenses. 5. Resources that are expected to yield future benefits are A) assets. B) owner's equity. C) revenues. D) expenses