What Events Cause Changes in a Corporation's Retained Earnings

question 124

Multiple Choice

What events cause changes in a corporation's retained earnings?

• A) Profit or loss and declaration of dividends.
• B) Declaration of dividends and issuance of shares to new shareholders.
• C) Profit issuance of shares, and borrowing from a bank.
• D) Declaration of dividends and purchase of new machinery.

---

Definitions:

Empowerment

The process of giving individuals or groups more control and power over their lives or the conditions affecting them.

Make Decisions

The process of selecting among various options or courses of action based on given criteria or conditions.

Action

The process or act of doing something towards achieving an objective or solving a problem.

Brand Loyalty

The tendency of consumers to continuously purchase one brand's products over others due to their satisfaction, trust, or preference.