Which of the Following Transactions Decreases Retained Earnings

question 158

Multiple Choice

Which of the following transactions decreases retained earnings?

• A) A property dividend.
• B) A stock dividend.
• C) A cash dividend.
• D) All of these answer choices are correct.

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Definitions:

Comprehensive Income

The total of all operating and financial events that affect the equity of a company, beyond just net income.

Unrealized Gains and Losses

Increases or decreases in the value of investments that have not yet been sold by the holder.

IFRS

International Financial Reporting Standards, a set of accounting standards developed by the International Accounting Standards Board (IASB) that is used globally.

GAAP

The standard set of guidelines for financial accounting that are widely accepted in a specific jurisdiction, known as Generally Accepted Accounting Principles.