Refer to the Information Above

question 115

Multiple Choice

Refer to the information above. Assuming Juniper Corporation did not issue any more common stock in 2009, how does the increase in value of its outstanding stock affect Juniper?

• A) Juniper should recognize additional net income for 2009 of $4 per share, or $240,000.
• B) Paid-in capital at December 31, 2009, is $720,000 (i.e., 60,000 shares times $12 per share).
• C) This increase in market value of outstanding stock is not recorded in the financial statements of Juniper Corporation.
• D) Each shareholder must pay an additional $4 per share to Jupiter.

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Definitions:

Pathology

The branch of medicine that studies the causes, nature, and effects of diseases.

Conjunctivitis

An inflammation of the conjunctiva, often called "pink eye," characterized by redness, itching, and discharge from the eye.

Pinkeye

Pinkeye, medically known as conjunctivitis, is inflammation or infection of the outer membrane of the eyeball and the inner eyelid.

Condition

A particular state or situation with regard to circumstances, often used in health to describe an illness or medical state.