A common stock dividend results in a decrease in:
A)assets
B)common stock
C)retained earnings
D)both assets and retained earnings

Name: A common stock dividend results in a decrease in: A)assets B)common stock C)retained earnings D)both assets and retained earnings
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Question

Quizplus · Accepted Answer

A common stock dividend is paid out of a company's retained earnings, so the amount of retained earnings will decrease. It does not affect the assets or common stock of the company.

A Common Stock Dividend Results in a Decrease In