Accounting: What the Numbers Mean 9th Edition by Wayne W McManus, Daniel F Viele, David H Marshall

Exercise 53

For the following questions, circle the best response.

Which of the following does not appear in the owners’ equity section of a balance sheet?

a. Preferred Stock.

b. Bonds Payable.

c. Additional Paid-In Capital.

d. Accumulated Other Comprehensive Income (Loss).

e. Treasury Stock.

Step 1 of 6

(a)

The stockholders’ equity section of a balance sheet is comprised of Paid-in Capital and Retained Earnings. Preferred stock would be included in Paid-in Capital, and would therefore appear in the stockholders’ equity section of a balance sheet.