1.
Corporations are owned by stockholders.
2.
Unlike partnerships, corporations can pay dividends.
3.
Double taxation is an advantage of the corporate form of business ownership.
4.
The capital section of a corporation's balance sheet is commonly called Stockholers' Equity.
5.
The balance of retained earnings represents surplus cash available for dividends.
6.
Costs paid to organize a corporation are accounted for as stockholders' equity.
7.
Normally, Retained Earnings should have a credit balance.
8.
Stockholders have unlimited liability.
9.
A corporation's CEO chooses its Board of Directors.
10.
Stock can be authorized, issued, and outstanding all at the same time.
11.
Liquidating dividend payments are common.
11.
Stock splits cause stock prices to rise.
13.
Treasury stock reduces total equity reported by a corporation on its balance sheet.
14.
stock splits reduce retained earnings.
2.
Unlike partnerships, corporations can pay dividends.
3.
Double taxation is an advantage of the corporate form of business ownership.
4.
The capital section of a corporation's balance sheet is commonly called Stockholers' Equity.
5.
The balance of retained earnings represents surplus cash available for dividends.
6.
Costs paid to organize a corporation are accounted for as stockholders' equity.
7.
Normally, Retained Earnings should have a credit balance.
8.
Stockholders have unlimited liability.
9.
A corporation's CEO chooses its Board of Directors.
10.
Stock can be authorized, issued, and outstanding all at the same time.
11.
Liquidating dividend payments are common.
11.
Stock splits cause stock prices to rise.
13.
Treasury stock reduces total equity reported by a corporation on its balance sheet.
14.
stock splits reduce retained earnings.
15. Dividends are recorded on their date of declaration.
