Which of the Following Transactions Would Not Result in a Decrease

question 152

Multiple Choice

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

• A) Declaration of a stock dividend
• B) Correction of an error in which depreciation expense was understated in a prior period
• C) Reacquisition of shares for less than the original issue price
• D) Incurrence of a net loss for the period

---

Definitions:

Technique

A systematic procedure, method, or skill applied in a particular task to achieve a desired result efficiently.

Testing Effect

An educational phenomenon where repeated testing on material leads to better memory retention than through study methods alone.

Alcohol

A psychoactive substance found in beverages like beer, wine, and spirits, known for its intoxicating effects on the human body.

Driving Performance

The evaluation of how effectively a person operates a vehicle, often considering factors like speed, accuracy, and safety.