Ashland Corporation Sells 100 Shares of Common Stock Being Held

question 206

Multiple Choice

Ashland Corporation sells 100 shares of common stock being held as an investment. The shares were acquired six months ago at a cost of $30 a share. Ashl and Keller sold the shares for $38 a share. The entry to record the sale is

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Definitions:

Normal Return

The minimum profit necessary to keep a company in business, regarded as the cost of capital in the long run.

Investment

The allocation of resources, usually money, in order to earn a future return or profit.

Performance Objectives

Specific goals set for employees or departments, focusing on output, efficiency, and impact to guide and improve performance.