Which of the following is the primary element that distinguishes accounting for corporations from accounting for other
Fantastic news! We've Found the answer you've been seeking!
Question:
Which of the following is the primary element that distinguishes accounting for corporations from accounting for other legal forms of business entities (such as partnerships)?
A. The entity theory relates primarily to the other forms of business entities.
B. The corporation draws a sharper distinction in accounting for sources of capital.
C. In a corporation, retained earnings may be reduced only by the declaration of dividends.
D. Generally accepted accounting principles apply to corporations but have relatively little applicability to other forms of business entities.
Related Book For
Intermediate Accounting
ISBN: 978-0324592375
17th Edition
Authors: James D. Stice, Earl K. Stice, Fred Skousen
Posted Date: