A corporation is a separate entity from its owners where the:
A. owners are not personally responsible for the obligations of the company.
B. articles of incorporation are not required to set up the company.
C. company cannot enter into binding contracts in its name.
D. death or withdrawal of an owner dissolves the company.
Answer: A
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Ace Industries has the following shareholders' equity accounts at December 31, 2018: Preferred stock, $100 par value, 10% dividend, 50,000 shares issued and outstanding$5,000,000 Common stock, $6 par value, 1 million shares issued and outstanding 6,000,000 Paid-in capital in excess of par 119,000,000 Unrestricted retained earnings 7,500,000 Retained earnings restricted for plant expansion 2,500,000 On December 15, 2018 Ace Industries repurchased 200,000 shares of its common stock for $10 per share. Based on its shareholders' equity accounts, what can be inferred about this purchase?
A. Ace retired the shares by reducing the common stock and paid-in capital accounts. B. Ace is reporting the shares as a $2,000,000 investment on the asset side of the balance sheet. C. Ace is holding $2,000,000 of treasury stock which is being disclosed in the notes to the financial statements. D. Not enough information is provided to determine how Ace recorded the purchase.
Beer marketers know that high-school educated, working-class males from the ages of 25 to 40 make an attractive market for their products. This is a ________ segment of the beer market.
A. geographic B. behavioral C. psychographic D. demographic E. benefits
Winters Corporation purchased 15,000 shares of Poores Corporation common stock for $60 per share on January 2, 2014. Poores Corporation reported net income of $1,500,000 for 2014 and paid dividends of $300,000 during 2014. Poores has a total of 50,000 shares of common stock outstanding. The entry that would be recorded to recognize the receipt of cash dividend is:
A) Cash 90,000 Dividend Income 90,000 B) Income, Poores Corporation Investment 90,000 Cash 90,000 C) Cash 90,000 Income, Poores Corporation Investment 90,000 D) Cash 90,000 Investment in Poores Corporation 90,000
The Urban Institute recommends government and nonprofit organizations collaborate to simplify the grant process by ______.
A. standardizing reporting formats B. involving the for-profit sector in the review process C. improving public involvement in the review process D. involving other nonprofit organizations in the review process