Which of the Following Transactions Will Increase Stockholders' Equity

question 10

Multiple Choice

Which of the following transactions will increase Stockholders' Equity?

• A)The company pays a dividend to its shareholders.
• B)The company issues common stock to new shareholders.
• C)The company purchases equipment.
• D)The company makes a payment on account.

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Definitions:

Drawing Tools Format Tab

A component of graphic software and applications that provides users with options to modify and enhance the appearance of shapes and graphics.

Rotate Handle

A visual handle, usually seen in graphical user interfaces, that allows users to rotate an object to a desired angle.

Shape Height

In graphic design and software, the specific vertical dimension or extent of a shape or graphical object.

Shape Width

A property or attribute in graphic design and digital content creation that specifies or alters the horizontal dimension of a shape or object.