Issuance of Common Stock for Cash Affects Which Basic Element

question 69

Multiple Choice

Issuance of common stock for cash affects which basic element of financial statements?

• A) Revenues.
• B) Losses.
• C) Liabilities.
• D) Equity.

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Definitions:

Time

The indefinite continued progress of existence and events in the past, present, and future regarded as a whole.

Condition

A specific requirement or stipulation that affects or determines the outcome or validity of a legal agreement.

Sum Certain

A fixed or determined amount of money specified in a legal document that is not subject to any conditions or contingencies.

Negotiable

Capable of being transferred or modified through discussion or upon reaching an agreement.