Which of the following transactions doesn't result in an increase in stockholders' equity?
A)Sale of no par common stock for cash.
B)Declaration and distribution of a common stock dividend.
C)Sale of preferred stock for cash at par value.
D)Sale of treasury stock for cash at a price less than its cost.

Question

Quizplus · Accepted Answer

The declaration and distribution of a common stock dividend decreases retained earnings and increases contributed capital by equal amounts.

Which of the Following Transactions Doesn't Result in an Increase