If the Board of Directors Authorizes a $100,000 Restriction of Retained

question 71

Multiple Choice

If the board of directors authorizes a $100,000 restriction of retained earnings for a future plant expansion, the effect of this action is to

• A)decrease total assets and total stockholders' equity.
• B)increase stockholders' equity and to decrease total liabilities.
• C)decrease total retained earnings and increase total liabilities.
• D)reduce the amount of retained earnings available for dividend declarations.

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Definitions:

Anterograde Amnesia

Deficit in the ability to learn new information.

Alzheimer's Disease

A progressive neurological disorder that causes the brain to shrink and brain cells to die, resulting in severe memory loss and cognitive decline.

Amnesia

A memory disorder marked by an inability to remember information or experiences that should be easily recallable.

Cognitive Symptoms

Issues or changes in thinking processes, including memory, attention, and problem-solving abilities.