Which of the Following Actions Will Decrease Retained Earnings

question 107

Multiple Choice

Which of the following actions will decrease Retained Earnings?

• A) repayment of bond principal
• B) stock split
• C) stock dividend declared
• D) purchase of treasury stock

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Definitions:

Expected Frequencies

Quantitative descriptions of the number of occurrences of events expected to happen in a scientific experiment based on probability distributions.

Fisher's Exact Test

A statistical significance test used to examine the association between two categorical variables in a contingency table, especially useful for small sample sizes.

Yates' Correction

A statistical adjustment made to the chi-squared test for small sample sizes, to better approximate the chi-squared distribution.

Expected Frequencies

The predicted counts of occurrences across different categories or intervals that one would expect by chance.