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Which of these is a true statement? Dividends reduce the amount of retained earnings when paid out. The declaration is reflected as a reduction of
Which of these is a true statement?
Dividends reduce the amount of retained earnings when paid out.
The declaration is reflected as a reduction of cash dividend payable and an increase in retained earnings.
The cash dividend payable account is a liability and is normally shown in the current liabilities section of the balance sheet.
None of the above.
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