Which of the following statements is incorrect?

A) Any cash dividend payment increases a firm's cash balance.

B) If preferred stock dividends are not paid, the firm is typically required to pay dividends that have been skipped in the past before they can pay dividends to common stockholders.

C) Tangible assets with an unlimited life, such as land, are not depreciated.

D) All the answers are correct except one.

E) Goodwill is an intangible asset that arises only when a firm purchases another firm, and it is a measure of how much the price paid for the acquired firm exceeds the sum of the values of acquired firm's individual assets.