Which of the following is one of the elements of stockholders' equity?

Question

Quizplus · Accepted Answer

Retained earnings is an element of stockholders' equity that represents the accumulated profits of a corporation that have not been distributed as dividends to shareholders. Net income may contribute to retained earnings, but it is not an element of stockholders' equity on its own. Dividends payable represent a liability, while a loss on the sale of equipment represents a reduction in net assets, and would therefore decrease stockholders' equity.

Which of the Following Is One of the Elements of Stockholders