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    Business
  3. Study Set
    Accounting Principles
  4. Exam
    Exam 14: Corporations: Dividends, Retained Earnings, and Income Reporting
  5. Question
    Why Must a Corporation Have Sufficient Retained Earnings Before It
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Why Must a Corporation Have Sufficient Retained Earnings Before It

Question 29

Question 29

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Why must a corporation have sufficient retained earnings before it may declare cash dividends?

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By definition a dividend is the distribu...

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