Bill and Steve both agreed to share the profits 50-50 and they became equal partners in this business venture. Both Bill and Steve each invested $1000 because they suspected that the land they were purchasing contain oil underneath the ground. Over 80 years ago oil prospectors also known as wildcatter's named Bill and Steve gathered up all of their savings and purchased a piece of land in Texas. You should be able to understand accumulated income and other comprehensive income.You should be able to understand par value as well as additional paid-in capital.You should be able to understand treasury stock.
You should be ablanalyze and interpret the statement of stockholders' equity for a business.You should be to understand the business manager's responsibilities for the financial statements of a business.You should be able to understand how the statement of stockholders' equity is organized.In this article we will evaluate to stockholders equity of WH3 Corp., who produces widgets. The statement of stockholders equity can help investors, managers, and accountants to get a clear picture and understand the structure of a business is ownership profile. When examining the financial statements of the business the statement of stockholders equity is a key financial statement to evaluate because it provides the information regarding the changes in the businesses stockholders equity that include contributed capital as well as retained earnings. The Statement of Stockholders' Equity Overview:
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