STOCK QUESTION

David has decided to open an auto - detailing business. He will pick up an automobile from the client, take it to his parents' garage, detail it, and return it to the client. If he does all of the work himself and takes no legal steps to form a special organization, which type of business organization, in effect, has he chosen? A limited - liability company A sole proprietorship A partnership A corporation Lerner Inc. had the following transactions in 2015, its first year of operations. Issued 20,000 shares of common stock. Stock has par value of $1.00 per share and was issued at S14.00 per share. Issued 1,000 shares of $100 par value preferred stock. Shares were issued at par. Earned net income of $35,000. Paid no dividends. At the end of 2015, what is the total amount of stockholders' equity? A corporation declares a dividend of $0.50 per share on 10,000 shares of common stock. Which of the following would be included in the entry to record the declaration? Dividends Payable-Common would be debited for $5,000 Retained Earnings would be credited for $5,000 Retained Earnings would be debited for $5,000 Paid - In Capital in Excess of Par-Common would be credited for $5.000