1.) Which of the following accounts is NOT an equity account?

1 A. Accumulated Other Comprehensive Income

B. Retained Earnings

C. Preferred Stock

D. Paid in Capital

E. Common Stock

F. They are all equity accounts

2.) An advantage of the Corporate form of doing business is:

A. The ability to attract large inflows of capital through stock sales.

B. Unlimited liability

C. Double taxation

D. None of the above

E. All of the above

3.) A disadvantage of the Corporate form of doing business is:

A. The ability to attract large inflows of capital through stock sales.

B. Limited liability

C. Free transferability of interests

D. Double taxation

E. All of the above

4.) Treasury Stock is what type of account?

A. Asset

B. Liability

C. Income

D. Expense

F. Contra-Equity

5.) Retained Earnings is what type of account?

A. Asset

B. Liability

C. Income

D. Expense

E. Equity

F. Contra-Equity

6.) Dividends is what type of account?

A. Asset

B. Liability

C. Income

D. Expense

F. Contra-Equity

7.) Paid in Capital Share Repurchases is what type of account?

A. Asset

B. Liability

C. Income

D. Expense

E. Equity

F. Contra-Equity