Which of the Following Transactions Would NOT Result in a Decrease

question 70

Multiple Choice

Which of the following transactions would NOT result in a decrease to retained earnings?

• A) declaration and issuance of a stock dividend
• B) incurrence of a net loss for the period
• C) reacquisition of shares for less than the original issue price
• D) correction of an error in which depreciation expense was understated in a prior period

---

Definitions:

Operant Conditioning

Operant conditioning is a method of learning that occurs through rewards and punishments for behavior, encouraging the occurrence of desired behaviors.

Systematic Desensitization

A therapeutic technique aimed at reducing anxiety through gradual exposure to the feared object or situation while using relaxation strategies.

Stepwise Regression

A statistical method of building a regression model by adding or removing predictors based on their statistical significance, in a step-by-step procedure.

Enclosed Spaces

Areas that are surrounded by boundaries or walls, often leading to feelings of confinement.