Shareholder equity includes what two main components?
A)retained earnings and capital stock
B)long-term investments and retained earnings
C)intangible assets and capital stock
D)retained earnings and fixed assets

Question

Quizplus · Accepted Answer

Shareholder equity includes two main components, which are retained earnings and capital stock. Retained earnings represent the accumulated profits of the company that have not been distributed as dividends to shareholders. Capital stock, also known as common stock, represents the amount of money invested by shareholders in exchange for ownership in the company.

Shareholder Equity Includes What Two Main Components