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Which of the Following Statements Is Correct

Question 45

Multiple Choice

Which of the following statements is correct?


A) Market value is the figure selected by the organizers of the corporation to be assigned to each share of stock for accounting purposes.
B) If there is only one class of stock, the stock is called preferred stock.
C) The authorized capital stock is the number of shares that have been issued and are still in the hands of stockholders.
D) In the event of liquidation, preferred stockholders have a claim on assets before that of common stockholders.

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