When a Stockholder Contributes Land to a Corporation in Exchange

question 215

Multiple Choice

When a stockholder contributes land to a corporation in exchange for stock,________.

• A) liabilities and stockholders' equity are increased
• B) assets and stockholders' equity are increased
• C) one asset is increased and another asset is decreased
• D) assets and liabilities are increased

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Definitions:

X-Linked

Gene located on an X chromosome.

Incomplete Dominance

A genetic phenomenon where the phenotype of a heterozygote is intermediate between the phenotypes of the two homozygotes, indicating a blend of the parental traits.

Dominant Allele

An allele that expresses its phenotypic effect even when heterozygous with a recessive allele, masking the effect of the recessive allele in heterozygotes.

Recessive Allele

A type of allele that produces its characteristic phenotype only when its paired allele is identical.