For a Company, Retained Earnings Represent

question 62

Multiple Choice

For a company, retained earnings represent:

• A) contributed capital from shareholders.
• B) profits retained by the company before tax is paid to the government.
• C) net cash retained by the company before any payment of dividends to shareholders.
• D) profits retained by the company after payment of dividends, and after any transfer to and from reserves.

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Definitions:

Review Your Notes

The practice of going back over written notes from lectures, meetings, or readings to reinforce learning and retention of information.

Memory

The faculty by which the mind stores and remembers information.

Prepare

The act of making ready or being made ready for use or consideration; involves planning and setting up necessary resources.

Benefits

Advantages or positive outcomes provided by a job, action, or decision, often including material perks like healthcare or retirement plans.