Accounting Principles - Standalone book
Accounting Principles - Standalone book
12th Edition
ISBN: 9781118875056
Author: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
Publisher: WILEY
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Chapter 13, Problem 5Q

(a)

To determine

Stockholders’ Equity: It is the amount which is invested by the stockholder’s in business, it also includes any earnings generated by the business operations. The formula to calculate stockholder’s equity is,

Stockholder'sEquity=TotalAssetsTotalLiabilities

To Explain: two principal components of stockholder’s equity

(b)

To determine

To Explain: paid in capital and its three examples.

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