The Following Data Were Reported by a Corporation: the Number

question 67

Multiple Choice

The following data were reported by a corporation: The number of outstanding shares is:

• A)12,000.
• B)15,000.
• C)17,000.
• D)20,000.
• E)23,000.

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Definitions:

Operating Costs

Expenses associated with the day-to-day functions of a business, excluding costs associated with production or acquisition of goods.

Depreciable Cost

Depreciable cost is the cost of a fixed asset that is subject to depreciation over its useful life, excluding salvage value.

Depreciation Rate

A percentage rate used to calculate the decrease in value of an asset over time for accounting and tax purposes.

Units-of-Activity

A depreciation method that allocates the cost of an asset over its useful life based on the units it produces or hours it operates.