Stanley Smith Is an Agent of the XYZ Company and Signs

question 114

True/False

Stanley Smith is an agent of the XYZ Company and signs a check as an authorized agent of the company.If he signs the check,"Stanley Smith,Agent",he will have no liability and XYZ will have full liability if the check were dishonored.

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Definitions:

Common Shares Outstanding

The total number of shares of common stock currently held by all shareholders, including share blocks held by institutional investors and restricted shares owned by the company’s officers and insiders.

Retained Earnings

The portion of net income left over for the business after it has paid out dividends to its shareholders.

Additional Paid-In Capital

The excess of the amount paid by investors over the par value of a stock during equity issuance.