In January 2005, Alan Jackson Inc. doubled the amount of its outstanding stock by selling on the
Question:
In January 2005, Alan Jackson Inc. doubled the amount of its outstanding stock by selling on the market an additional 10,000 shares to finance an expansion of the business. You propose that this information be shown by a footnote on the balance sheet as of December 31, 2004. The president objects, claiming that this sale took place after December 31, 2004, and, therefore, should not be shown. Explain your position.
Balance SheetBalance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...
Step by Step Answer:
The general guide followed with regard to the full disclosure principle is to di...View the full answer
Intermediate Accounting
ISBN: 978-0470423684
13th Edition
Authors: Donald E. Kieso, Jerry J. Weygandt, And Terry D. Warfield
Related Video
Stocks (also known as equities) are securities that represent ownership in a company. They are issued by companies to raise capital, and when an individual buys stocks, they become a shareholder in that company. Investing in stocks can be a way for individuals to potentially earn a return on their investment through dividends and capital appreciation. However, investing in stocks also carries a level of risk, as the value of the stock can fluctuate based on various factors such as the financial performance of the company and general market conditions. For companies, issuing stocks can be a way to raise funds for growth and expansion. When a company goes public by issuing an initial public offering (IPO), it can raise significant capital by selling ownership stakes to the public. Companies can also issue additional stock offerings to raise additional capital as needed.
Students also viewed these Accounting questions
-
In January 2008, Alan Jackson Inc. doubled the amount of its outstanding stock by selling on the market an additional 10,000 shares to finance an expansion of the business. You propose that this...
-
In January 2021, Janeway Inc. doubled the amount of its outstanding stock by selling on the market an additional 10,000 shares to finance an expansion of the business. You propose that this...
-
In January 2013, Janeway Inc. doubled the amount of its outstanding stock by selling on the market an additional 10,000 shares to finance an expansion of the business. You propose that this...
-
2) A parallel plate capacitor is used to build an accelerometer. It senses movement by allowing one plate to slip with respect to the other, so that the area of overlap of the plates varies from ten...
-
An article in a Federal Reserve publication observes that "20 or 30 years ago, local financial institutions were the only option for some borrowers. Today, borrowers have access to national (and even...
-
On December 31, 2010, Carls Cartons, Inc., issued $100,000 worth of 9% bonds at 104. The interest on these bonds is paid annually on December 31. 1. What are the interest payments for the first two...
-
Explain the relationship between Health and Safety guidance and event management accounting decisions.
-
Refer to People v. Sanders and United States v. Martinez-Jimenez in Appendix A. For each of these cases, identify the parties, citation, holding, and disposition.
-
a-b 26 a+b 86 eitliinde (a - b) ve (a + b) asal saylard a ctur?
-
A company that produces and markets video game systems wishes to assess its customers level of satisfaction with a relatively new model, the XYZ- Box. In the six months since the introduction of the...
-
Briefly describe the types of information concerning financial position, income, and cash flows that might be provided: (a) Within the main body of the financial statements, (b) In the notes to the...
-
Describe the two major constraints inherent in the presentation of accounting information.
-
The following financial information is available for Plummer SA. The weighted-average number of ordinary shares outstanding was 80,000 for 2019 and 100,000 for 2020. Instructions Calculate earnings...
-
Emma Stone searched for a good investment vehicle after she started making money while performing on the silver screen. Luckily, when she was twenty seven years old, Margot Robbie recommended a...
-
A liquid of density 1397 kg/m flows with speed 2.5 m/s into a pipe of diameter 0.17 m. The diameter of the pipe decreases to 0.05 m at its exit end. The exit end of the pipe is 7.04 m lower than the...
-
What are integrated marketing communication strategies used by Amazon using print advertising, digital advertising, social media advertising and tv advertising?
-
In a construction job that is expected to last 4 years, a conveyor with a cost of $ 10,000 is proposed as an alternative for handling materials; with annual operating expenses of $ 7,000. The analyst...
-
1.If $961.00 accumulates t o$1185.89 in two years six months compounded quarterly what is the effective annual rate of interest ? the effective annual rate of interest is ? 2.A car was purchaed for...
-
During 2011 and 2012, Yue Corp. completed the following transactions relating to its bond issue. The corporation's fiscal year is the calendar year. Required a. When the bonds were issued, was the...
-
Suppose you are comparing just two means. Among the possible statistics you could use is the difference in means, the MAD, or the max min (the difference between the largest mean and the smallest...
-
Estimate the cost of operating labor (C OL ), the cost of utilities (C UT ), and the cost of manufacturing (COM d ) for the ethylbenzene process given in Project B.2 of Appendix B. You must do...
-
Describe the procedures involved in segregating various deferred tax amounts into current and noncurrent categories.
-
How is it determined whether deferred tax amounts are considered to be related to specific asset or liability amounts?
-
At the end of the year, Falabella Co. has pretax financial income of $550,000. Included in the $550,000 is $70,000 interest income on municipal bonds, $25,000 fine for dumping hazardous waste, and...
-
hello , can you please help me answer those a question correctly, thank you. Saved Help Save & Exit Subn Keisha owns 100% of DEF Company and has a basis ofof $12,000. Keisha has a: $10,000 in its...
-
Accountants that are focused on issuing financial statements to serve the dicision making needs of external users of the business are called
-
Under the default provisions, the financial rights between member-management owners and manager-management owners is: Question 2 options: a) immaterial. b) material, giving a higher percentage of...
Study smarter with the SolutionInn App