Which of the Following Is TRUE of Dividends in Arrears

question 6

Multiple Choice

Which of the following is TRUE of dividends in arrears?

• A)Dividends in arrears are a liability on the balance sheet.
• B)Dividends in arrears are passed dividends on non-cumulative preference shares.
• C)Dividends in arrears are passed dividends on ordinary shares.
• D)Dividends in arrears are passed dividends on cumulative preference shares.

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