The Net Effects on the Corporation of the Declaration and Payment

question 106

Multiple Choice

The net effects on the corporation of the declaration and payment of a cash dividend are to

• A)decrease liabilities and decrease stockholders' equity.
• B)increase stockholders' equity and decrease liabilities.
• C)decrease assets and decrease stockholders' equity.
• D)increase assets and increase stockholders' equity.

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Definitions:

Personality

The amalgamation of elements that constitute a person's distinct identity.

Consistency

the quality of always acting or behaving in the same way, showing reliability and uniformity in one's actions.

Distinctiveness

The quality of being clearly different or unique in comparison to others.

Collective Unconscious

A concept in analytical psychology proposing that societies share a set of inherited mental structures, which are not acquired by personal experience but are innate.