Question: Which statement regarding dividends is false? a. Dividends represent a sharing of corporate profits with owners. b. Both stock and cash dividends reduce retained earnings.

Which statement regarding dividends is false?

a. Dividends represent a sharing of corporate profits with owners.

b. Both stock and cash dividends reduce retained earnings.

c. Cash dividends paid to stockholders reduce net income.

d. None of the above statements are false.

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