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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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.
Transcribed Image Text: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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