The Net Effects on a Corporation of the Declaration and Payment

question 31

Multiple Choice

The net effects on a corporation of the declaration and payment of a cash dividend are to

• A)increase assets and increase stockholders' equity.
• B)decrease liabilities and decrease stockholders' equity.
• C)decrease assets and decrease stockholders' equity.
• D)increase stockholders' equity and decrease liabilities.

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Definitions:

Illegal Drugs

Substances whose production, sale, or use is prohibited by law.

Legalization

The process of making certain actions or substances legal under the law, often referring to the decriminalization of certain drugs or activities.

Illegal Drugs

Substances whose production, possession, or use are regulated by laws and are considered unlawful.

Age

The length of time that a person has lived or a thing has existed.