Which of the following occurs when a cash dividend is declared?
A) liabilities remain unchanged
B) stockholders' equity decreases
C) liabilities decrease
D) assets increase
B
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The flow of materials to refurbish products for resale constitutes a reverse flow
Indicate whether the statement is true or false
A ______ is a division or department within the organization that brings in no revenue or profit for the organization. This type of division or department only costs money for the organization to run.
A. revenue center B. business center C. cost center D. productivity center
Abel is considering whether or not to get an e-reader. He has read online reviews of three different kinds of readers and has talked with two friends who own e-readers. Abel is at the awareness stage of the new product adoption process
Indicate whether the statement is true or false
As part of their normal course of business, companies sometimes sell off entire divisions or segments. The accounting treatment for such sales is composed of two components and a reporting format. Required:
a. Describe the accounting treatment and reporting format used for such sales. b. Discuss why such sales are separated from other parts of the income statement.