Share capital dividends declared but not yet distributed as of the statement of financial position date should be reported as a (an) current liability b. addition to share capital outstanding c. reduction in total shareholders' equity d. noncurrent liability a.

Share capital dividends declared but not yet distributed as of the statement of financial position date should be reported as a (an) current liability b. addition to share capital outstanding c. reduction in total shareholders' equity d. noncurrent liability a.

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter20: Corporations: Organization And Capital Stock

Section: Chapter Questions

Problem 5MC: Treasury stock is listed as a(n) __________ on the balance sheet. (a) current liability (b) current...

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Question

Answer the question below and provide an explanation.

Share capital dividends declared but not yet distributed as of the statement
of financial position date should be reported as a (an)
current liability
b. addition to share capital outstanding
reduction in total shareholders' equity
d. noncurrent liability
MC 9-3
a.
C.

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