Part I Multiple Choice 1) ABC Inc. billed customers $50,000 and had $10,000 of selling expenses and $20,000 of administrative expenses. Assume cost of services billed was $5,000. What is ABCs net income? a) $30,000 b) $80,000 c) $15,000 d) $35,000 2) Financial accounting follows Generally Accepted Acccounting Principles (GAAP), while managerial accounting a) often has the financial information audited b) develops reports primarily prepared for internal use and help management make informed operational decisions. c) develops financial statements for external users d) is concerned with collecting data of historical nature