Why Is Valuation of Most Stock Issuances Usually Considered to Be

question 107

Multiple Choice

Why is valuation of most stock issuances usually considered to be relatively straightforward?

• A)The number of transactions is small.
• B)The transactions are typically material.
• C)Most stock is issued for cash.
• D)There are no disclosure issues to worry about,since stock amounts are reported in the body of the balance sheet.

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