Indicate Whether Each of the Following Statements About Stockholders' Equity

Essay

Indicate whether each of the following statements about stockholders' equity is true or false.Operating expenses reported on the income statement decrease retained earnings.Stockholders' equity and liabilities can be viewed either as sources of assets or claims to assets of the business.Retained earnings is increased by loans received from a bank.Dividends paid to stockholders decrease common stock.Stockholders' equity is the residual interest in the company resulting from the difference between assets and liabilities.