Retained Earnings Represent the Source of Net Assets Generated by the Earnings

question 116

Multiple Choice

Retained earnings represent the source of net assets generated by the earnings process that exceed the firm's dividend declarations.Common practice refers to the process of curtailing dividends to accumulate assets, represented by retained earnings, as _____.

• A)operating activities
• B)investing activities
• C)external financing
• D)internal financing
• E)dividend seizure

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Definitions:

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