Which of the Following Is a CORRECT Statement

question 109

Multiple Choice

Which of the following is a CORRECT statement?

• A)Shareholders' equity is also called Proprietorship Equity.
• B)A proprietorship has more than one capital account.
• C)A partnership has a separate owner's equity account for each partner.
• D)Retained earnings is the owner's investment in the corporation.

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Definitions:

Compounded Semi-Annually

Interest on an investment or loan calculated twice a year and added to the principal.

Economic Values

The worth of goods or services as determined by the market or the intrinsic importance or utility they offer to individuals.

Compounded Monthly

Interest on a loan or investment calculated monthly and added to the principal sum for the calculation of subsequent interest.

Compounded Annually

Interest calculation and accumulation once per year on the principal amount of an investment or loan.