Chico Company Experienced an Accounting Event That Affected Its Accounting

question 63

Multiple Choice

Chico Company experienced an accounting event that affected its accounting equation as indicated below:
$$\begin{array} { | c | c | c | c | c | c | c | } \hline \text { Assets } & = & \text { Liabilities } & + & \begin{array} { c } \text { Commnn } \\\text { Strok }\end{array} & + & \begin{array} { c } \text { Retained } \\\text { Eurnings }\end{array} \\\hline + & = & \text { NA } & + & + & + & \text { NA } \\\hline\end{array}$$
Which of the following accounting events could have caused these effects on Chico's statements?

• A) Issued common stock.
• B) Paid cash expenses.
• C) Borrowed money from a bank.
• D) Paid a cash dividend.

Recognize the significance and impact of Corporate Social Responsibility (CSR) activities.

Identify various social entrepreneurship initiatives and their societal goals.

Acknowledge the challenges and support mechanisms for female entrepreneurs in diverse geopolitical contexts.

Comprehend the aims and beneficiaries of major philanthropic initiatives related to social entrepreneurship.

---

Definitions:

Simple Interest

Simple interest is a method of calculating the interest charge on a loan based on the original principal balance without compounding.

Rate of Return

The financial improvement or decline in an investment across a particular period, indicated as a percentage of the investment’s entry cost.

Interest

The fee associated with the right to borrow funds, usually indicated as a yearly percentage rate.

Compounded Annually

This refers to the process of calculating interest on both the initial principal and the accumulated interest from previous periods on a yearly basis.