Which One of the Following Is a Primary Market Transaction

question 5

Multiple Choice

Which one of the following is a primary market transaction?

• A)sale of currently outstanding stock by a dealer to an individual investor
• B)sale of a new share of stock to an individual investor
• C)stock ownership transfer from one shareholder to another shareholder
• D)gift of stock from one shareholder to another shareholder
• E)gift of stock by a shareholder to a family member

Understand the accounting treatment of dividends in a group context, including elimination on consolidation.

Recognize the treatment of intragroup services and the necessary consolidation adjustments.

Comprehend the process for the elimination of intragroup profits or losses on inventories and their tax effects.

Understand the fundamental principles of the Capital Asset Pricing Model (CAPM).