What is the purpose of generating financial statements and who are the primary users of thisinformation?

A.

The purpose of generating financial statements is to comply with the regulatory requirements of the Financial Accounting Standards Board(FASB). FASB identifiesinvestors, lenders and other creditors as the primary users of the financial statements.

B.

The purpose of generating financial statements is to provide useful information to users to evaluate economic entities and make efficient resource allocation decisions based on the risks and returns of a particular investment. The Financial Accounting Standards Board(FASB) identifiesinvestors, lenders and other creditors as the primary users of the financial statements.

C.

The purpose of generating financial statements is to provide useful information to users to evaluate economic entities and make efficient resource allocation decisions based on the risks and returns of a particular investment. The Financial Accounting Standards Board(FASB) identifiesinvestors, lenders and management as the primary users of the financial statements.

D.

The purpose of generating financial statements is to comply with the regulatory requirements of the Financial Accounting Standards Board(FASB). FASB identifiesinvestors, lenders and management as the primary users of the financial statements.

Listed below is selected information reported by Alonso Corporation(the Company) for the current fiscalyear:

Net Income

$180,000

Dividends

36,000

Unrealized loss on available for saleinvestments, net of tax

3,000

RetainedEarnings, Beginning Balance

240,000

Common Stock

120,000

Accumulated Other ComprehensiveIncome, Beginning Balance

15,000

Treasury Stock

5,000

What would the Company report as Comprehensive Income for the currentyear?

A.

$12,000

B.

$18,000

C.

$177,000

D.

$183,000

What would the Company report as TotalStockholders' Equity as of the end of theyear?

A.

$361,000

B.

$521,000

C.

$379,000

D.

$511,000