Distinctions between paid- in capital and retained earnings are rarely made for:
A) sole proprietorship and corporations
B) corporations
C) partnerships and sole proprietorships
D) corporations and partnerships

Question

Quizplus · Accepted Answer

Partnerships and sole proprietorships typically do not distinguish between paid-in capital and retained earnings, as these entities do not issue stock and their equity is not divided in the same way as corporations.

Distinctions Between Paid- in Capital and Retained Earnings Are Rarely