The Dividends Account Is a Subdivision of the Retained Earnings

question 52

True/False

The dividends account is a subdivision of the retained earnings account and appears as an expense on the income statement.

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Definitions:

Purchasers Rights

Legal entitlements or protections that buyers have when they purchase goods or services.

Goods

Physical items that are produced or natural, which can be bought, sold, or traded in the market.

Description

A detailed account or explanation of the characteristics or features of something.

Statutory Assignment

A transfer of rights or benefits from one party to another, as permitted or required by statute or law.