Multiple Select Question

Select all that apply

Which of the following statements are true regarding retained earnings?

It is a distribution of earnings that have been made to stockholders.

It represents net income for a year.

It is referred to as an accumulated deficit if cumulative losses and dividends exceed cumulative net income.

It is reduced by any dividends paid to stockholders.

It is the cumulative net income of the entity that has been retained for use in the business.

It is increased each year by the entity's net income.