Answered: 20.Which of the following items is not…

20.Which of the following items is not a sub-category of shareholders’ equity? a. Share capital b. Retained earnings c. Dividends payable d. Share premium

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter12: Fainancial Statement Analysis

Section: Chapter Questions

Problem 39MCQ: Which of the following are not part of common equity? a. preferred stock c. retained earnings b....

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Question

20.Which of the following items is not a sub-category of shareholders’ equity?

a. Share capital

b. Retained earnings

c. Dividends payable

d. Share premium

Definition Definition Remaining net income of the company after the required dividends are paid to shareholders. This surplus money is usually invested back into the business to expand its business operations or launch a new product.

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