A(n) ____ of a Corporation Involves Approval of the Shareholders

question 144

Multiple Choice

A(n) ____ of a corporation involves approval of the shareholders and the board of directors.

• A) involuntary
• B) voluntary
• C) immediate
• D) unwarranted
• E) abstract

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Definitions:

FASB's Agenda

The Financial Accounting Standards Board's schedule of planned topics to discuss, with the aim of setting and improving accounting standards in the United States.

Dividends Paid

The portion of a company's earnings distributed to shareholders as a payment, typically in cash or additional shares.

Indirect Method

A way of presenting a cash flow statement where net income is adjusted for changes in balance sheet accounts to calculate cash flow from operating activities.

Direct Method

A method of preparing the cash flow statement where actual cash receipts and cash payments are reported, showing the specific sources and uses of cash.