Which of the following transactions is most likely to be recognized on a firm's statement of changes in equity? a) buying a machine from an equipment dealer. b) declaring a dividend on common shares. c) investing cash in an exchange-traded fund.

The answer is: B) Declaring a dividend on common shares.

Explanation:

A company´s statement of changes in equity shows the change in shareholder's equity throughout an accounting period. The main elements of these reports are:

Dividend payments must be deducted from shareholder equity because they are a distribution of wealth to the shareholders.

the second one is 3mm

because i just took the test

a manufacturer of printed circuit boards uses exponential smoothing with trend to forecast monthly demand of its product. at the end of december, the company wishes to forecast sales for january. the estimate of trend through november has been 200 additional boards sold per month. average sales have been around 1000 units per month. the demand for december was 1100 units. the company uses α = 0.20 and β = 0.10. make a forecast including trend for the month of january.