1. A company declared a cash dividend on its ordinary shares in December 2020 payable in January 2021. Retained earnings would A. increase on the date of declaration. B. not be affected on the date of payment C. not be affected on the date of declaration D. decrease on the date payment
1. A company declared a cash dividend on its ordinary shares in December 2020 payable in January 2021. Retained earnings would A. increase on the date of declaration. B. not be affected on the date of payment C. not be affected on the date of declaration D. decrease on the date payment
Chapter14: Corporation Accounting
Section: Chapter Questions
Problem 16MC: Retained earnings is accurately described by all except which of the following statements? A....
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1. A company declared a cash dividend on its ordinary shares in December 2020 payable in January 2021.
A. increase on the date of declaration.
B. not be affected on the date of payment
C. not be affected on the date of declaration
D. decrease on the date payment
2. Which of the following should be presented in the statement of changes in equity?
A. Distributions to owners
B. Investments by owners
C. Change in ownership interest in subsidiary that does not result in a loss of control
D. All of these are presented in the statement of changes in equity
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