Dividends in arrears on preference shares are reported in the financial statements as a (an) a. liability b. reduction from Retained Earnings c. reduction from Retained Earnings d. expense

1. Which of the following would appear first in a statement of retained earnings?  Choices; Cash dividend Prior period error Net income Share dividend     2. Which of the following does not appear in a statement of retained earnings?   Choices; Net loss Preference share dividend Other comprehensive income Prior period error

Match the following ratio functions with the ratio (place the number of your chosen answer into the box with the border beside the term you think it goes with : Dividend Yield   Debt ratio   Current Ratio   Price/Earnings Ratio   Acid-test ratio   Earnings per share     1.  The amount of net income earned for each share of the company's common stock 2. The percentage of a stock's market value returned to stockholders as dividends each period 3. The ability to pay current liabilities with current assets. 4. The percentage of assets financed with debt. 5. The ability to pay all current liabilities if they come due immediately. 6. The market price of $1 of earnings.

The date on which liability for dividends must be recorded. *         a. Date of payment       b. Date of record       c. Declaration date       d. Date of issuance