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_valmarie _valmarie
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5 years ago
If a corporation has dividends in arrears of $25,000 on its cumulative preferred shares, it must:
A) Set aside cash for the amount of the dividends.
B) Pay the dividends in arrears before it can pay dividends to its common shareholders.
C) Capitalize this amount as a part of permanent capital.
D) Appropriate retained earnings for this amount.
Textbook 
Intermediate Accounting, Volume 2

Intermediate Accounting, Volume 2


Edition: 5th
Authors:
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5 years ago
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_valmarie Author
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5 years ago
Happy Dummy I'm impressed
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