All of the Following Are True of Retained Earnings Except

question 110

Multiple Choice

All of the following are true of retained earnings except:

• A)It is the difference between paid in capital and the total dividends paid
• B)It represents the amount of new capital shareholders indirectly contribute
• C)It is equal to one minus the payout ratio
• D)It is the amount of earnings plowed back into the firm

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Outline View

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