As Hector Was Packing to Return to State University After

question 244

Multiple Choice

As Hector was packing to return to State University after his summer vacation, he realized that he owned many valuable things such as a laptop computer, a stereo system, and a DVD player. An accountant would list all of these as Hector's:

• A) assets.
• B) liabilities.
• C) owners' equity.
• D) intangibles.

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Definitions:

Dividends Per Share

The total dividends declared by a corporation for each outstanding share of common stock, reflecting the distribution of earnings to shareholders.

Market Price

The current price at which an asset or service can be bought or sold on the open market.

Retained Earnings

The cumulative amount of net income kept within a company after dividends are paid, reinvested in the business or used to pay off debt.