A Stock Split Requires No Formal Journal Entry and May

question 8

True/False

A stock split requires no formal journal entry and may be recognized simply by a memorandum notation in the general journal and in the appropriate capital stock accounts.

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Definitions:

Goods Imports

The purchase of physical products from other countries to bring into one's own country.

Current Account

A component of a country's balance of payments that includes the trade balance, net primary income, and net secondary income.

Financial Account

Part of the balance of payments, it records transactions that involve the exchange of international ownership of assets.

Balance Surplus

A situation in which income or receipts exceed expenditures or outlays, often referring to a country's trade or fiscal balance.