Assume that a company recorded the following journal entry, with regards to the impact of this journal entry.
a)_____ Net income decreasesb)_____ Total assets decreasec)_____ Total liabilities stay the samed)_____ Cash flows from investing activities decreasee)_____ Stockholders' equity decreases

Question

Quizplus · Accepted Answer

b)True c)True d)False e)T. Paying dividends will be recorded as a cash outflow from financing activities (rather than investing activities).e)This is true. Paying a dividend decreases stockholders' equity (retained earnings).

Assume That a Company Recorded the Following Journal Entry, with Regards