Long Term Debt Serviced from Proprietary Funds Is Reported Only

question 82

True/False

Long term debt serviced from proprietary funds is reported only in the government-wide Statement of Net Position.

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Definitions:

Retained Earnings

The portion of net income that is retained by the corporation rather than distributed to its shareholders as dividends.

Total Stockholders' Equity

This represents the total amount of capital contributed by shareholders plus the retained earnings of a company, indicating the net worth of the company from a shareholder's perspective.

Stock Split

A corporate action in which a company divides its existing shares into multiple shares to boost the liquidity of the shares, although the market capitalization remains the same.

Paid-in Capital

The amount of money that a company has received from shareholders in exchange for shares of stock, beyond the par value of the shares.