In Accordance with IASB Conceptual Framework Which of the Following

question 30

Multiple Choice

In accordance with IASB Conceptual Framework which of the following accounts are expenses?

• A) dividends paid
• B) provision for warranties
• C) entity dumps pollutants in a river adjacent to its factory
• D) None of the given answers are correct.

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Definitions:

Common Stock

A type of equity security that represents ownership in a corporation, providing voting rights and a share in the company's profits through dividends.

Par Preferred Stock

Preferred shares issued at a stated value (par value), which typically determines the dividend payments and is considered during liquidation.

Journalize

The process of recording transactions in a journal, which includes detailing the financial transactions of a company in chronological order.

Earnings Per Share

A financial metric calculated by dividing the net earnings of the company by the number of outstanding shares of its common stock.