hich of the following is not true about the stockholders' equity section of a balance sheet? a. Stockcharacteristics are indicated. b. Preferred stock subscriptions receivable, common stock subscriptionsreceivable, and treasury stock are subtracted from the total of paid - in capital and retained earnings. c.Contra equity accounts are shown at the beginning of the stockholders' equity section of a balance sheet. d.Retained earnings is listed after all paid - in capital.

Stockholder's Equity -A stockholders' capital is another term for shareholders' equity. That is the…

Answered: hich of the following is not true about…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

. How does the issuance of common stock affect the accounting equation? a) Increases assets and decreases liabilities b) Increases assets and increases equity c) Increases assets and increases liabilities d) Increases liabilities and decreases equity
The category of equity that tracks the events relating to stockholder transactions is known as: Group of answer choices Retained Earnings Treasury Stock Paid-In Capital Awesome Category
Interdependence of financial statements (a) Which financial or operational data item appears on both the income statement and the statement of stockholders' equity? (a) Which item appears on both the balance sheet and the statement of retained earnings? (c) Which line item occurs on both the balance sheet and cash flow statement?
(Equity Items on the Balance Sheet) The following are selected transactions that may affect stockholders’ equity.1. Recorded accrued interest earned on a note receivable.2. Declared a cash dividend.3. Declared and distributed a stock split.4. Approved a retained earnings restriction.5. Recorded the expiration of insurance coverage that was previously recorded as prepaid insurance.6. Paid the cash dividend declared in item 2 above.7. Recorded accrued interest expense on a note payable.8. Declared a stock dividend.9. Distributed the stock dividend declared in item 8.InstructionsIn the following table, indicate the effect each of the nine transactions has on the financial statement elements listed. Use the following code: I = Increase, D = Decrease, NE = No effect. Item Assets Liabilities Stockholders’Equity Paid-inCapital RetainedEarnings NetIncome
Required Indicate the effect of each of the following transactions on (1) the current ratio, (2) working capital, (3) stockholders' equity, (4) book value per share of common stock, and (5) retained earnings. Assume that the current ratio is greater than 1:1 (Indicate the effect of each transaction by selecting "+" for increase, "-"for decrease, and leave the cell blank if there is no effect.). a. Collected account receivable. b. Wrote off account receivable. c. Converted a short-term note payable to a long-term note payable. d. Purchased inventory on account. e. Declared cash dividend f. Sold merchandise on account at a profit. g. Issued stock dividend h. Paid account payable. i. Sold building at a loss. Retained Value Earnings Current Working Stockholders Book Ratio Capital Equity
which of the following balances can the paid in capital treasury stock account not have zero balance debit balance credit balance both a and b
The two main categories of stockholders’ equity area. assets and liabilities.b. retained earnings and common stock.c. common stock and preferred stock.d. retained earnings and paid-in capital
Treasury stock a. Has a normal credit balance. b. Decreases stockholders’ equity.c. Is recorded as an investment. d. Increases stockholders’ equity.
When recording dividends received from a stock investment accounted for using the equity method, which of thefollowing statements is true?a. Total assets are increased and net income is increased.b. Total assets are increased and total stockholders’ equityis increased.c. Total assets are decreased and total stockholders’equity is decreased.d. Total assets and total stockholders’ equity do notchange
the statement of stockholders equity does not include: A) retained earnings B) Equity- Method investments C) treasury stock D)accumulated other comprehensive stock

Recommended textbooks for you

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

Horngren's Cost Accounting: A Managerial Emphasis…

Accounting

ISBN:

9780134475585

Author:

Srikant M. Datar, Madhav V. Rajan

Publisher:

PEARSON

Intermediate Accounting

Accounting

ISBN:

9781259722660

Author:

J. David Spiceland, Mark W. Nelson, Wayne M Thomas

Publisher:

McGraw-Hill Education

Financial and Managerial Accounting

Accounting

ISBN:

9781259726705

Author:

John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS