Which of the Following Balance-Sheet Accounts Will Not Be Affected

question 98

Multiple Choice

Which of the following balance-sheet accounts will not be affected when there is a reduction in the number of outstanding shares?

• A)retained earnings
• B)additional paid-in capital
• C)common shares (at par value)
• D)treasury stock at cost

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Definitions:

Replacement Hypothesis

A theory suggesting that new technology or methods will completely replace older ones.

Freud's

Referring to theories and concepts developed by Sigmund Freud, particularly those related to psychoanalysis, personality development, and the unconscious mind.

Task Leader Role

A position or function within a group specifically focused on guiding, organizing, and driving the completion of objectives or tasks.

Relational Leader Role

Involves focusing on building strong relationships within a team or organization, fostering a positive work environment, and effectively managing interpersonal dynamics.