Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. how should cumulative preferred dividends in arrea

How should cumulative preferred dividends in arrears be shown in a corporation's balance sheet? a)...

50.1K

Verified Solution

Question

Accounting

How should cumulative preferred dividends in arrears be shown in a corporation's balance sheet?

a) Note disclosure <------------------------------------- answer

b) increase in stockholder's equity

c) increase in current liabilities

d) increase in current liabilities for the amount expected to be declared within the year or operating cycle, and increase in long term liabilities for the balance.

I know the answer is choice a but can someone explain to me why? I'm confused on the definition of note disclosure. Thanks in advance!

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Basic Math
1.2K views

Age HRS1 58 32 24 46 32 40 29 40 34 86 49 40 60 40 78 25 39 5 67 15 22 40 Develop a scatter plot with HRS1 (how many hours per week one works) as the dependent...

Basic Math
1.2K views

Danielle and William are visiting an ice cream shop where they will randomly choose one of...

Physics
1.2K views

The figure shows elliptical orbit of a planet m about the sun S The shaded...

Physics
1.2K views

A block of mass m is suspended from a spring of force constant k it...

Calculus
1.2K views

Determine a the volume and b the surface area of figure Use the button on...

Accounting
1.2K views

Subject: Foreign Source Income Norah Johns has foreign source income of $30,000 during the current...

Accounting
1.2K views

Instructions Equipment acquired on January 8 at a cost of $165,730 has an estimated useful...

Accounting
1.2K views

Suppose Ford Motors decides to issue preferred equity that entitles the owner of a share...

Accounting
1.2K views

Complete la pregunta en blanco. Blissful Breeze fabrica y vende ventiladores de techo. El...

Accounting
1.2K views

L Corporation produces and sells 14,600 units of Product X each month. The selling price...

Accounting
1.2K views

A holder of a $9000, 7%, 210-day note dated June 8 decides to sell the...

Finance
1.2K views

QUESTION 7 You need to borrow $433,975 to buy a house today. If the bank...