Preliminary expenses, credit cash accounts
Promoter, credit creditors' accounts
Lawyer's credit cash accounts
Cash, credit incorporation accounts
Correct answer is A
No explanation has been provided for this answer.
Which of the following events increases a corporation's shareholders equity?
Donation of shares out of the corporation's own stock to the corporation
The corporation's purchase of treasury stock
Shares of previously subscribed stock issue to subscribing stockholders
A municipality donation of land to the corporation
Correct answer is A
No explanation has been provided for this answer.
Earning per share
Redemption price per share
Book value per share
Call price per share
Correct answer is D
No explanation has been provided for this answer.
If a sole proprietorship is purchased for cash, then?
The purchaser debits his business purchase account with the consideration he pays
All assets and liabilities must be bought
Goodwill results where value of assets
The vendor debits his business purchase account with the considerstion he receives
Correct answer is A
No explanation has been provided for this answer.
They will simply continue since there are no new members
The partnership is formally ended and new company books opened
The shares and all other items will be shared equally and not in their former ratios
Computation of goodwill must be done as it is legally required
Correct answer is B
No explanation has been provided for this answer.