Share dividends and share splits have the following effects on retained earnings: 
Definitions:
Transaction
An exchange or interaction between two or more parties, often used in the context of business or finance.
System
A set of interconnected parts that work together as a whole to achieve a common purpose or to function within a particular environment.
Goals Attained
The achievement of objectives or desired outcomes.
Middle-Range Theory
A theory that connects abstract, broad theories to more specific, empirical observations, applicable to a particular subset of the discipline.
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