Please Refer to the Following Information for Peartree Company

question 133

Multiple Choice

Please refer to the following information for Peartree Company:
• Common stock, $1.00 par, 100,000 issued, 95,000 outstanding
• Paid-in capital in excess of par: $2,150,000
• Retained earnings: $910,000
• Treasury stock: 5,000 shares purchased at $20 per share
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If Peartree purchases an additional 1,000 shares of treasury stock at $18 per share, which of the following statements would be TRUE?

• A) Total equity of the company would remain unchanged.
• B) Total equity of the company would go up by $18,000.
• C) Total equity of the company would go down by $18,000.
• D) Total equity of the company would go down by $2,000.

Interpret the applicable laws and acts governing partnerships.

Explain the foundation and principles of limited partnerships.

Understand the structure and formation of partnerships and limited partnerships, including the necessary formalities.

Recognize the rights and obligations of general and limited partners within a partnership.

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Definitions:

Symbols

Objects, signs, or expressions that represent something else by association, resemblance, or convention, especially material objects used to represent abstract ideas.

Personal Fable

a cognitive distortion experienced by adolescents, believing that their thoughts, feelings, and experiences are unique and not understood by others.

Adolescent Egocentrism

A characteristic of adolescent thinking that leads to an over-focus on oneself, often resulting in feelings of uniqueness and invulnerability.

Mathematical Ability

The capacity to understand, apply, and manipulate mathematical concepts, operations, and puzzles.