On the Statement of Retained Earnings

question 123

Multiple Choice

On the statement of retained earnings:

• A)a net loss decreases retained earnings.
• B)net income decreases retained earnings.
• C)dividends declared increase retained earnings.
• D)a deficit ending balance in retained earnings is not allowed.

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Definitions:

Driving Violation

An act of breaking or disregarding the laws that regulate vehicle operation on public roads, potentially leading to penalties such as fines, points on a license, or other legal consequences.

Social Insurance

A system where government or a public agency provides financial support to individuals to cover specific risks such as unemployment, aging, or disability.

Government Spends

The total financial expenditures of a government on public services, infrastructure, defense, welfare, and administration.

Insurable Interest

A party who has an interest in property or life.