Moretown, Inc had the following transactions in 2017, its first year of operations
• Issued 31,000 shares of common stock. Stock has par value of $1.00 per share and was issued at $20.00 per share.
• Earned net income of $70,000.
• Paid no dividends.
At the end of 2017, what is total stockholders' equity?
A) $31,000
B) $690,000
C) $620,000
D) $70,000
B .B)
Common stock (31,000 x $20 ) $620,000
Net income $70,000
Total stockholders' equity $690,000
You might also like to view...
An insurance firm agrees to pay you $3,310 at the end of 20 years if you pay a premium of $100 per year at the end of each year of the 20 years. Find the internal rate of return to the nearest whole percentage point
A) 9% B) 7% C) 5% D) 3% E) 11%
In the ExxonMobil case study, the approach taken was to find individual solutions to routing, transportation, scheduling, and inventory management, and select the best solution for one of the variables
Indicate whether the statement is true or false