Each of the Following Decreases Retained Earnings Except a

question 271

Multiple Choice

Each of the following decreases retained earnings except a

• A) cash dividend.
• B) liquidating dividend.
• C) share dividend.
• D) All of these decrease retained earnings.

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Definitions:

Full Potential

The maximum capability or level of achievement an individual, organization, or system can reach based on its inherent qualities and resources.

Savings Rate

is the proportion of disposable income that is saved rather than spent by individuals or households.

Productive Investment Projects

Initiatives undertaken by businesses or individuals that are expected to yield a return by increasing output or efficiency.

Uncertain Returns

The unpredictability associated with the outcome of an investment or the potential return on an investment.