The Promise of "Love and Affection" Can Constitute Adequate Consideration

question 133

True/False

The promise of "love and affection" can constitute adequate consideration to support a contract.

Apply knowledge of stock transactions to record journal entries accurately, including transactions involving common stock, preferred stock, and excess of par value.

Interpret the stockholders' equity section of a corporation's balance sheet and understand the components of paid-in capital.

Recognize the implications of cumulative and noncumulative dividends for stockholders and the corporation.

Understand the legislative and procedural aspects of issuing stock, including the rights to dividends and the process for calculating dividends.

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Definitions:

Stakeholders

Individuals, groups, or organizations that have an interest or concern in a business or project and can be affected by its outcomes.

End-Recipients

The final users or beneficiaries of a product, service, or information.

Triple Bottom Line

A business framework that encourages companies to focus equally on social, environmental, and financial performance, often summarized as people, planet, and profits.

Corporate Social Responsibility

A business model that helps a company be socially accountable—to itself, its stakeholders, and the public—by practicing sustainable and ethical operations.