Exam 11: Reporting and Analyzing Shareholders Equity

Which of the following is one of the requirements a corporation must meet under the Canada Business Corporations Act to declare and pay a cash dividend?

Total comprehensive income equals

Retained earnings are occasionally restricted

Stock dividends and stock splits have the following effects on retained earnings:

Preferred shares are generally issued to appeal to a larger segment of potential investors.

The effect of the declaration of a cash dividend is to

Which of the following factors does not affect the initial market price of a share?

Corporations reporting under IFRS have the option of preparing either a statement of changes in equity or a statement of retained earnings.

A corporation acts under its' own name rather than in the name of its shareholders.

If the statement of financial position is prepared after a stock dividend has been declared but before it has been distributed, the stock dividend distributable would be reported in the

The effect of a stock dividend is to

All of the following are normally found in a publicly-traded corporation's shareholders' equity section except

The journal entry to record the declaration of a stock dividend includes

Which of the following statements regarding the date of a cash dividend declaration is not true?

Mr.Gold sold 100 shares of Delia Corp.to Mrs.Silver for $2,200.As a result of this transaction, Delia Corp.'s

A company can control the market value of its shares.

Ford Harrison has invested $650,000 in a corporation.The corporation does not do well and must declare bankruptcy.What amount does Harrison stand to lose?

Which of the following statements reflects the transferability of ownership rights in a corporation?

Authorized shares of a corporation

Retained earnings that are restricted are unavailable for dividends.