While corporations might have multiple issues of bonds or preferred stock, no corporations have multiple classes of common stock. While corporations might have multiple issues of bonds or preferred stock, no corporations have multiple classes of common stock. True False Give typing answer with explanation and conclusion

While corporations might have multiple issues of bonds or preferred stock, no corporations have multiple classes of common stock. While corporations might have multiple issues of bonds or preferred stock, no corporations have multiple classes of common stock. True False Give typing answer with explanation and conclusion

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter10: Stockholder's Equity

Section: Chapter Questions

Problem 2MCQ: Which of the following statements is true? The outstanding number of shares is the maximum number of...

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define the following terms ,in your own words and no plagiarism :make it short and simple answer corporation,dividend,limited liability,over-the counter market,stock exchange and stock market index
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True or False: Corporations are required to have a par value associated with their common stock. Select one: True False
Which of the following statements are true regarding corporations? Note: You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect. It has many of the same rights as an individual. The sale of shares from one stockholder to another does not impact operations. An exception is when it changes the makeup of directors. Stockholders are expected to hire and fire key executives. It does not end with the death of an owner. Corporate income that is distributed to shareholders is usually taxed twice. Corporations are often subject to fewer regulations than partnerships. The president and vice presidents choose the board of directors.
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Which of the following statements are true regarding corporations? Note: You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect. ✔The sale of shares from one stockholder to another does not impact operations. An exception is when it changes the makeup of directors. ? It has many of the same rights as an individual. ?Stockholders do not have the power to bind the corporation to contracts. ? Stockholders are expected to hire and fire key executives. ? Owners are personally liable for corporate debts. ? It is a separate legal entity. ? Owners are not agents of the corporation.
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True or False. a corporation is cease to exist when its shareholders sell their stock.
Indicate whether each of the following statements is true or false. 1. The corporation is an entity separate and distinct from its owners. 2. 3. 4. 5. The liability of stockholders is normally limited to their investment in the corporation. The relative lack of government regulation is an advantage of the corporate form of business. There is no journal entry to record the authorization of capital stock. No-par value stock is quite rare today. False True
Which of the following statements is false? Group of answer choices Stocks are long-term securities issued by corporations. Common stock is the residual interest in the firm and gives the owner dividend rights, voting rights, liquidation rights, and preemptive rights. Common stock promises a dividend payment but usually does not give voting rights. Bonds are less risky than stocks.
Which of the following statements is false? a. one of the disadvantages of incorporation is the problem of "double taxation" b. the number of issued shares is equal to the total shares sold to date minus those held in treasury stock c. common stock is part of stockholders equity d. when the stock has a par value, the amount recorded in the common stock account is the par amount times the number of shares issued
Discuss the various reasons why one corporation might invest in the stock of another corporation?