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Listed Below Are Ten Terms Followed by a List of Phrases

Question 140

Matching

Listed below are ten terms followed by a list of phrases that describe or characterize the terms. Match each phrase with the best term placing the number designating the term in the space provided.

Premises:

Responses:

A large stock dividend that includes a reduction in the par or stated value per share.

Statement of stockholders' equity

Distributions by a corporation to its stockholders.

Preferred stock

Describes the nature of the firm's business activities, the shares to be issued, and the composition of the initial board of directors.

Additional paid-in capital

Traces the line of authority for a typical corporation.

Venture capital firms

Provide additional financing, often in the millions, for a percentage ownership in the company.

Stock dividends

A mixture of attributes somewhere between common stock and bonds payable.

Articles of incorporation

The portion of the cash proceeds above par value.

Organization chart

Additional shares of the companies' own stock given to stockholders.

Retained earnings

Summarizes the changes in the balance in each stockholders' equity account over a period of time.

Stock split

Represents all net income, less all dividends, since the company began.

Dividends

Premises:

A large stock dividend that includes a reduction in the par or stated value per share.

Distributions by a corporation to its stockholders.

Describes the nature of the firm's business activities, the shares to be issued, and the composition of the initial board of directors.

Traces the line of authority for a typical corporation.

Provide additional financing, often in the millions, for a percentage ownership in the company.

A mixture of attributes somewhere between common stock and bonds payable.

The portion of the cash proceeds above par value.

Additional shares of the companies' own stock given to stockholders.

Summarizes the changes in the balance in each stockholders' equity account over a period of time.

Represents all net income, less all dividends, since the company began.

Responses:

Statement of stockholders' equity

Preferred stock

Additional paid-in capital

Venture capital firms

Stock dividends

Articles of incorporation

Organization chart

Retained earnings

Stock split

Dividends

Correct Answer:

Premises:

Responses:

A large stock dividend that includes a reduction in the par or stated value per share.

Distributions by a corporation to its stockholders.

Describes the nature of the firm's business activities, the shares to be issued, and the composition of the initial board of directors.

Traces the line of authority for a typical corporation.

Provide additional financing, often in the millions, for a percentage ownership in the company.

A mixture of attributes somewhere between common stock and bonds payable.

The portion of the cash proceeds above par value.

Additional shares of the companies' own stock given to stockholders.

Summarizes the changes in the balance in each stockholders' equity account over a period of time.

Represents all net income, less all dividends, since the company began.