--%>
Assignment Help - homework help

Capitalize earnings

To transfer amounts from retained earnings to contributed capital through stock dividends. The effect is to decrease retained earning and increase the stock account. Stock dividends also permanently retain the earnings in the corporation by moving it out of the retained earnings account-which is used for dividend payments-and into the contributed capital section of the balance sheet. To reduce the contributed capital, the corporation would declare liquidating dividends 

 

   Related Questions in Financial Accounting

  • Q : What is Corporate Social Responsibility

    Corporate Social Responsibility directly states that every company is responsible towards the society and the environment. So this is a duty of every company to create eco-friendly new products. In the current scenario when the fuel prices are increas

    		•
  • Q : Benefit of Electronic Funds Transfer

    Illustrate the benefit of Electronic Funds Transfer?

    		•
  • Q : Effects of foreigners portfolio

    Since early 1980s, foreign portfolio investors has purchased a considerable portion of the U.S. treasury bond issues.  Explain some short-term and long-term effects of the foreigners’ portfolio investment over the U.S. balance of payments.

    		•
  • Q : Assurance services Significant costs

    Significant costs associated with the disposal of asset. Accounting for asset retirement obligations requires estimating the cost and discounting estimate. The present value added to the asset's depreciable base and a liability is recorded for the obligation. Every year, interest expense is added

    		•
  • Q : Cost accountant With Black

    Black Manufacturing Company Black Manufacturing produced a single product called the Great Beast. During the past three weeks, Lee High, the new cost accountant, had observed that production efficiency and input pr

    		•
  • Q : Explain Due Diligence Due Diligence: 1.

    Due Diligence:1. General: Assess of prudence, accountability, and diligence which is expected from, and ordinarily exercised by, a reasonable and prudent person beneath the situations.

  • Q : Define purchase budget Give a short

    Give a short introduction of the term ‘purchase budget’?

    		•
  • Q : Uncertainty in dollar/franc exchange

    Suppose that your company has an equity position within the French firm. Explain some of the condition under which the dollar/franc exchange rate uncertainty does not have the exchange exposure for your company.

    		•
  • Q : Meaning of Goodwill Meaning of Goodwill

    Meaning of Goodwill: Goodwill puts the association at a good position due to which the organization is capable to earn huge profits without any additional efforts. Goodwill can’t be seen although felt. Thus goodwill is termed as an Intangible as

    		•
  • Q : Financial institutions & Economic growth

      It started with the US sub-prime mortgages on housing loans, which became worthless when home owners defaulted on their loans. The housing market promptly collapsed, wiping out Wall Street's revered investment banks and pull

    		•