Decrease in retained earnings follows the distribution of dividends. The types of dividends include [1] cash, [2] property, [3] scrip, [4] liquidating, and [5] stock. With...
Three basic transactions account for most of the changes that occur in shareholder’s equity: sale of stock to investors, recognition of periodic net income or loss...
Retained earnings are created for the most part by the earnings of the corporation. These earnings (referred to as net income) are closed into the retained...