: The trust fund doctrine holds that share capital of a corporation is considered a trust fund for the protection of the shareholders. S2: A no par share is one without any value appearing on the face of the stock certificate, thus, it is issued for free. A.Both statements are true B. Both statements are false C. Only S1 is true D. Only S2 is true
: The trust fund doctrine holds that share capital of a corporation is considered a trust fund for the protection of the shareholders. S2: A no par share is one without any value appearing on the face of the stock certificate, thus, it is issued for free. A.Both statements are true B. Both statements are false C. Only S1 is true D. Only S2 is true
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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S1: The trust fund doctrine holds that share capital of a corporation is considered a trust fund for the protection of the shareholders. S2: A no par share is one without any value appearing on the face of the stock certificate, thus, it is issued for free.
A.Both statements are true
B. Both statements are false
C. Only S1 is true
D. Only S2 is true
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