Which of the Following Statements Is True for a Corporation

question 17

Multiple Choice

Which of the following statements is true for a corporation with $1 million market value of equity,$2 million market value of assets,and 1,000 shares of outstanding stock?

• A) Market value of liabilities exceeds book value of liabilities.
• B) Market value of liabilities equals $1 million.
• C) Book value per share equals $1,000.
• D) Market value per share equals $2,000.

---

Definitions:

British Columbia

A province in western Canada, known for its natural beauty, including mountains, forests, and the Pacific coastline.

Political Affiliation

The alignment or identification of an individual with a particular political party or ideology.

Raising Taxes

The act of increasing the rates at which individuals or corporations are taxed by the government.

Conservative

A political and social philosophy that promotes retaining traditional institutions and values, favoring slow or minimal changes.