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a. Dividends declared, prior period adjustments and changes due to treasury stock transactions b. Before tax income or loss and dividends paid or declared. c. Prior period adjustments,before tax income or loss , income tax and dividends paid. d.Net income or loss, prior period adjustments, and dividends paid or declared.
d.Net income or loss, prior period adjustments, and dividends paid or declared.
Retained earnings : Earnings left out after making all extra ordinary adjustments and it is available for distribution among share holders.Hence the answer is :
d.Net income or loss, prior period adjustments, and dividends paid or declared.
D is correct
A is incorrect because Declared dividends donot affect Retained Earnings, they must be paid.
B is incorrect because net income/loss effects the retained earnings, not just before tax income or loss.
C is incorrect because net income/loss effects the retained earnings, not just before tax income or loss.
Answer is D
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