Stock Dividends Distributable Is Classified as A(n)

question 126

Multiple Choice

Stock Dividends Distributable is classified as a(n)

• A)asset account.
• B)shareholders' equity account.
• C)expense account.
• D)liability account.

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Definitions:

Writing Requirement

A legal principle that certain kinds of contracts or agreements must be recorded in written form to be legally binding and enforceable.

Confirming Memo

A written document used to reiterate agreements or transactions that have been verbally made, ensuring both parties share the same understanding.

Delivery Contract

A delivery contract is a legal agreement specifying the terms under which goods are to be transferred from a seller to a buyer.

Common Carrier

A business or agency that is available to the public for transportation of persons, goods, or services under a regulatory or legal obligation.