August,Inc

question 84

Multiple Choice

August,Inc.had the following transactions in 2018,its first year of operations: • Issued 22,000 shares of common stock.The stock has a par value of $3.00 per share and was issued at $16.00 per share.
• Issued 1800 shares of $160 par value preferred stock at par.
• Earned net income of $37,000.
• Paid no dividends.
At the end of 2018,what is total stockholders' equity?

• A) $677,000
• B) $354,000
• C) $286,000
• D) $640,000

---

Definitions:

Immigration

The process by which individuals move from one country to another, with the intention of settling, permanently or temporarily, in the new country.

Wages

Payments made to workers for their labor, typically calculated on an hourly, daily, or weekly basis.

Rate of Return on Capital

The percentage return that one receives on an investment in capital assets, reflecting the profitability of the investment.

Capital Stock

The total value of all physical assets a company uses in its production process.