If a Corporation Shows a Net Loss on Its Income

question 54

Multiple Choice

If a corporation shows a net loss on its income statement, which of the following is true?

• A)The company may not be able to sell stock.
• B)The company may continue to have a net increase in cash.
• C)The company may not be able to pay dividends.
• D)The company may continue to have an increase in retained earnings.

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Definitions:

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