Which of the Following Will Not Cause a Change in the Stockholders

question 134

Multiple Choice

Which of the following will not cause a change in the stockholders' equity of a business?

• A)An increase in prepaid expenses.
• B)An increase in retained earnings.
• C)The sale of common stock.
• D)The declaration and payment of dividends.

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Definitions:

Wearing Gloves

The practice of covering the hands with gloves as protection against various hazards or for hygiene.

OSHA Violation

A failure to comply with standards and regulations set by the Occupational Safety and Health Administration, potentially endangering workers.

Discretionary Fine

A penalty imposed by a person in authority, who has the discretion to determine both the necessity and the amount of the fine.

Substantial Probability

means a significant likelihood of an event occurring, used in various contexts to assess risks or outcomes.