The book value of the shareholders ownership is represented by:
A) the sum of the par value of common stock, the capital surplus and the accumulated retained earnings.
B) the total assets minus the net worth.
C) the sum of the preferred stock, debt and the capital surplus.
D) the sum of the total assets minus the current liabilities.

Question

Quizplus · Accepted Answer

The book value of the shareholders' ownership, also known as shareholders' equity, is represented by the sum of the par value of common stock, the capital surplus, and the accumulated retained earnings. This reflects the accounting value of shareholders' interest in the company.

The Book Value of the Shareholders Ownership Is Represented By