\begin{tabular}{l} Multiple Choice Question \\ On the balance sheet, Retained Earnings appears under _ \\ Other current assets \\ Other long-term liabilities \\ O current liabilities assets \\ O stockholders' equity \\ \hline\end{tabular}

Retained Earnings represents the accumulated profits of a company that have not been distributed as dividends to shareholders. It's an essential component as it reflects the company’s ability to reinvest in the business and fund growth. This account grows with each profitable year and is displayed in the stockholders' equity section of the balance sheet—where the wealth of the owners is reported! In practice, healthy retained earnings indicate a company is effectively managing its profits. Conversely, negative retained earnings (also known as an accumulated deficit) might raise red flags for investors, highlighting that a company might be struggling financially. Keeping a watchful eye on this metric can give you insights into a company's long-term viability!