When the shares of stock are sold by the stockholder, the sale has an effect on the company's assets and liabilities.

Name: When the shares of stock are sold by the stockholder, the sale has an effect on the company's assets and liabilities.
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Question

Quizplus · Accepted Answer

The sale of shares by a stockholder is a transaction between private individuals or entities and does not directly affect the company's balance sheet (assets, liabilities, or equity).

When the Shares of Stock Are Sold by the Stockholder