Which of the Following Mathematical Expressions Represents the Equation of a Straight

question 2

Multiple Choice

Which of the following mathematical expressions represents the equation of a straight line with a slope of zero at all points on a graph with Y on the vertical axis and X on the horizontal axis?

• A)Y = a + X
• B)X = bY
• C)X = a
• D)Y = a

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Definitions:

Shareholders' Equity

The residual interest in the assets of a corporation that remains after deducting its liabilities, often referred to as stockholders' equity or owners equity.

Common Stock

A type of equity security that represents ownership in a corporation, granting holders a share of profits in the form of dividends and voting rights.

Paid-In Capital

The amount of money a company has received from shareholders in exchange for shares of stock, beyond the par value of the shares.

Basic Earnings

The amount of net income available to common shareholders, divided by the common shares outstanding, representing a straightforward measure of earnings without adjustment.