Eff Ltd Was Organized on January 2, 2020, with 100,000 No

question 37

Multiple Choice

Eff Ltd. was organized on January 2, 2020, with 100,000 no par value common shares authorized. During 2020, Eff had the following capital transactions: Jan 5 Issued 75,000 shares at $ 14 per share
Jul 27 Purchased and retired 5,000 shares at $ 10 per share
Nov 25 Issued 4,000 shares at $ 13 per share
What would be the balance in the Contributed Surplus account at December 31, 2020?

• A) $ 0
• B) $ 10,000
• C) $ 20,000
• D) $ 50,000

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Definitions:

Customs Laws

Regulations imposed by governments on the import and export of goods, aimed at controlling the flow of goods across borders.

Protectionism

A call for tariffs and favorable treatments to protect domestic firms from foreign competition.

Foreign Competition

The presence of companies from different countries competing in a market, often emphasizing the global nature of business.

European Union

The European Union is a political and economic union of member states that are located primarily in Europe, aiming to promote peace, stability, and economic cooperation among its members.