All corporate capital stock transactions should ultimately be traced to the

Question

Quizplus · Accepted Answer

The minutes of meetings of the board of directors document the authorization of capital stock transactions, such as the issuance or repurchase of shares, and provide the basis for entries in the corporate accounting records. The cash receipts and disbursements journals record the actual cash inflows and outflows related to the stock transactions, but do not provide the proper control and accountability over the issuance or ownership of the stock. Numbered stock certificates represent the ownership of shares, but are not necessary for the transfer of ownership and do not reflect the authorization or approval of the board of directors.

All Corporate Capital Stock Transactions Should Ultimately Be Traced to the