Dividends Payable Is Classified as a

question 7

Multiple Choice

Dividends Payable is classified as a

• A)long-term liability.
• B)contra stockholders' equity account to Retained Earnings.
• C)current liability.
• D)stockholders' equity account.

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Definitions:

Implied Warranty of Fitness

An assurance, typically not expressly stated, that a product will be suitable for its intended purpose.

Particular Purpose

A specific objective or requirement for which goods or services are intended or needed, as expressed in a contract.

Lessee

A person or entity who leases or rents property from another, known as the lessor.

Merchant

A merchant is an individual or company involved in the wholesale or retail trade of goods or services.