Shareholders' Equity

Multiple Choice

Shareholders' equity:

A) Includes common stock, paid in surplus, retained earnings, and long-term debt.
B) On a statement of financial position is equivalent to the market value of the outstanding shares of stock.
C) Includes all of a firm's earnings retained by the firm to date.
D) Increases, all else equal, when the dividends paid are greater than the net income for a year.
E) Includes the book value of any bonds issued by the firm.