Which of the following amounts should be disclosed in the Stockholders' equity section of the balance sheet?
A) the number of shares of common stock outstanding
B) the number of shares of common stock issued
C) the number of shares of common stock authorized
D) All of these choices

Question

Quizplus · Accepted Answer

All three options should be disclosed in the Stockholders' equity section of the balance sheet. The number of shares of common stock authorized indicates how many shares the company is allowed to issue. The number of shares of common stock issued indicates how many shares have been sold to investors. The number of shares of common stock outstanding indicates how many shares are currently held by investors.

Which of the Following Amounts Should Be Disclosed in the Stockholders