When Retained Earnings Are Restricted, They Must Also Be Appropriated

question 142

True/False

When retained earnings are restricted, they must also be appropriated.

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Definitions:

Consideration

A concept in contract law that involves something of value promised to another when forming a contract.

Promise

A promise is a declaration or assurance that one will do a particular thing or that guarantees the happening or not happening of a specific event in the future.

Voidable Contract

A contract that may be voided or canceled by one of the parties.

Statute of Frauds

A legal doctrine that requires certain types of contracts to be in writing and signed by the party to be charged, to be enforceable.