ACC 304 All Assignments ACC 304 All Assignments | Page 38

c. the amount of capital the federal government allows a corporation
to generate.
d. the total capital raised by a corporation within the limits set by the
Securities and Exchange Commission.
S25. Stockholders of a business enterprise are said to be the residual
owners. The term residual owner means that shareholders
a. are entitled to a dividend every year in which the business earns a
profit.
b. have the rights to specific assets of the business.
c. bear the ultimate risks and uncertainties and receive the benefits of
enterprise ownership.
d. can negotiate individual contracts on behalf of the enterprise.
26.
Total stockholders' equity represents