Which of the Following Transactions Affects Total Retained Earnings

question 34

Multiple Choice

Which of the following transactions affects total retained earnings?

• A)Purchase of treasury stock
• B)Payment of previously declared cash dividend
• C)Declaration of a stock dividend
• D)Declaration of a stock split

Distinguish between the nominal and effective interest rates.

Record the proceeds and discount transactions of notes receivable and payable.

Understand the implications of accounting treatments (with and without reversing entries) for notes receivable and payable transactions.

Analyze and determine the correct accounts to be debited and credited in various transactions related to notes and interest.