Sweet Candies Reduced Its Fixed Assets This Year Without Affecting

question 50

Multiple Choice

Sweet Candies reduced its fixed assets this year without affecting the shop's operations, sales, or equity.This reduction will increase which of the following ratios?
I.Capital intensity ratio
II.Return on assets
III.Total asset turnover
IV.Return on equity

• A)I and II only
• B)II and III only
• C)II, III, and IV only
• D)I, II, and IV only
• E)I, II, III, and IV

Realize the importance of an effective conclusion in reinforcing the presentation’s purpose and message.

Understand the concept of treasury shares and their financial reporting.

Learn how to prepare journal entries for issuing ordinary and preference shares, including par, stated, and no-par value shares.

Acquire the ability to prepare journal entries for various corporate financial transactions, including share issuance, cash dividends, and treasury share transactions.

---

Definitions:

Sole Stockholder

A single individual or entity that owns 100% of the shares of a corporation.

Corporate Entity

A corporate entity is a company or group that is authorized to act as a single entity and recognized as such in law, separate from its shareholders.

Promoter

An individual or entity that takes the initiative in founding and organizing a business or enterprise, often before it’s officially established.

Sole Shareholder

An individual or entity that owns 100% of the shares of a corporation, maintaining complete control.