Reference no: EM132945755

True or False

Question 1: A partner who desires to withdraw from the partnership may do so as long as he gets the consent of majority of the other partners.

Question 2:  Preference Share Capital is usually recorded at Par Value while Ordinary share Capital is at stated value.

Question 3: Subscribers are persons who purchase stocks and agree to pay at a later date, while undertakers are those who agree to dispose of the shares to the general public

Question 4:  Share Capital shown in the Statement of Financial Position is the difference between Authorized Share Capital and Unissued Share Capital

Question 5: Another term used for Share Capital is Paid-in Capital.

Question 6:  Quasi-public corporations are actually private corporations.

Question 7: When share capital are reacquired and then retired by the issuing corporation, the related additional paid in capital from the original issuance of stock is also cancelled.

Question 8: The highest bidder is the one who is willing to pay the unsettled subscription plus any expense incurred in relation with the delinquency sale and is agreeable to receive the least number of stocks.

Question 9: Dividend in arrears on preference shares are reported in the financial statement as a liability.

Question 10:  A corporation may never earn a profit or incur a loss by selling or buying its own stock.