Indicate whether each of the following statements about financial statements is true or false.a)A cash dividend paid to stockholders is reported in the investing activities section of the statement of cash flows.b)A cash dividend paid to stockholders is reported on the statement of changes in stockholders' equity.c)A cash dividend paid to stockholders is reported on the income statement.d)The balance sheet reports the ending balances of permanent accounts as of the last day of the accounting period.e)Changes in retained earnings during the accounting period are reported on the income statement.

Question

Quizplus · Accepted Answer

b)True c)False d)True e)F
A cash dividend paid to stockholders is reported in the financing activities section of the statement of cash flows. A cash dividend paid to stockholders is reported on the statement of changes in stockholders' equity, not on the income statement. Changes in retained earnings for the accounting period are reported on the statement of changes in stockholders' equity, not on the income statement.

Indicate Whether Each of the Following Statements About Financial Statements