Question

Included in the statement of stockholders' equity are a.assets, income, and expenses. b.assets, liabilities, and stockholders' equity. c.income and expenses. d.net income (loss), common stock, and dividends.

Answer 1

Answer:

D.net income (loss), common stock, and dividends

Explanation:

Stockholder´s equity statement: It is a financial statement that shows all the changes in the value of stockholder´s equity in a particular period of time. It includes comprehensive income, unlike the income statement. It helps in knowing the position of equity.

Statement of shareholder´s equity include the following components:

• Share capital.
• Retained earning.
• Income and dividend.

These three component affect the following item in the statement:

• Issue of share capital.
• Payment of dividends.
• Change in net income.
• Bonus share issue.
• Sale of treasury stock.
• Foreign Exchange.
• Fixed asset revaluation.