Determine evidence of stockholders'' equity transaction

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(A) What is a typical procedure to determine evidence of stockholders' equity transactions? Answer (A) is acceptable because the board of directors will, in general, authorize changes in stockholders' equity. Answer

(B) is not always the case because small clients do not typically use a transfer agent. Besides, a transfer agent's job ordinarily has to do with transfers of outstanding stock. Answer

(D) is invalid because "treasury stock certificate book" is a record that does not ordinarily exist.

Reference no: EM131046701

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