--%>

Capitalize earnings

To transfer amounts from retained earnings to contributed capital through stock dividends. The effect is to decrease retained earning and increase the stock account. Stock dividends also permanently retain the earnings in the corporation by moving it out of the retained earnings account-which is used for dividend payments-and into the contributed capital section of the balance sheet. To reduce the contributed capital, the corporation would declare liquidating dividends 

 

   Related Questions in Financial Accounting

  • Q : Digital Image Processing Homework Using

    I am just trying your services to get one very small project done for Digital Image Processing Homework Using Matlab.I need the code and the approach of the code.The Homework is :A. Import a color image.B. Convert color image to gray-level image.C. create

  • Q : Monetary approach to determine exchange

    Derive and explain monetary approach in order to determine the exchange rate.

  • Q : Calculate depreciation expense for the

    On December 31, 20x3, the PPE Company purchased an asset costing $1,000,000. The asset’s useful life is expected to be 10 years with a residual value of $300,000. a. Calculate the depreciation expense for 20x4 using:

  • Q : APV capital budgeting framework How APV

    How APV capital budgeting framework is useful for analyzing the foreign capital expenditures?

  • Q : Foreign commerce trade State three

    State three basic documents which are essential in order to conduct the typical foreign commerce trade?  Discuss briefly the purpose of each.

  • Q : Cost of accidents to an employer

    Discuss the cost of accidents to an employer in from a perspective of why prevention is better than cure ?

  • Q : Cross-hedging and its effectiveness

    Discuss cross-hedging and also some of the factors evaluating its effectiveness.

  • Q : Effects of foreigners portfolio

    Since early 1980s, foreign portfolio investors has purchased a considerable portion of the U.S. treasury bond issues.  Explain some short-term and long-term effects of the foreigners’ portfolio investment over the U.S. balance of payments.

  • Q : Interest rate Give me answer of this

    Give me answer of this question. The prime interest rate usually: A) rises when the Federal funds rate rises. B) rises when the discount rate falls. C) falls when the Federal funds rate rises. D) falls when the Fed sells bonds in the open market

  • Q : Cost accountant With Black

    Black Manufacturing Company Black Manufacturing produced a single product called the Great Beast. During the past three weeks, Lee High, the new cost accountant, had observed that production efficiency and input pr