If Common Stock Is Issued for an Amount Greater Than

question 186

Multiple Choice

If common stock is issued for an amount greater than par value, the excess should be credited to

• A) Retained Earnings
• B) Cash
• C) Legal Capital
• D) Paid-In Capital in Excess of Par

Analyze the effects of information communication technology on communication behaviors and interpersonal skills.

Identify the principles of effective communication within organizational settings and the role of supervisors.

Evaluate the impact of new communication technologies on multitasking and workplace behavior.

Illustrate the importance of two-way communication and its effectiveness compared to one-way communication.

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Definitions:

Value Recovers

The process by which the market value of an asset increases after a period of decline.

Double Declining Balance

A method of accelerated depreciation which doubles the straight-line depreciation rate, resulting in higher depreciation expenses in the early years of an asset's life.

Depreciation Rate

The rate at which an asset's value is reduced over time for accounting and tax purposes.

Asset Retirement Obligation

A legal obligation associated with the retirement of a tangible long-lived asset, where the entity is required to remove or dispose of the asset.