Which One of the Following Is Not Necessary in Order

question 141

Multiple Choice

Which one of the following is not necessary in order for a corporation to pay a cash dividend?

• A)Adequate cash
• B)Approval of stockholders
• C)Declaration of dividends by the board of directors
• D)Retained earnings

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Definitions:

Negligence

A failure to behave with the level of care that someone of ordinary prudence would have exercised under the same circumstances.

Established Contracts

Legally binding agreements that have been agreed upon by the parties involved and typically outline the terms of employment, services, or other mutual commitments.

Wrongful Dismissal

The act of terminating an employee's contract without lawful reason or in violation of the contract terms, often leading to legal action.

Nonmanagerial Employees

Workers who do not hold management positions and are typically responsible for executing operational tasks within an organization.