What is one component of shareholders' equity?
A) notes payable
B) common shares
C) property, plant, and equipment
D) cash

Question

Quizplus · Accepted Answer

Common shares are a component of shareholders' equity, representing the amount of money paid in by shareholders in exchange for ownership in the company. Notes payable are a liability, not a component of shareholders' equity. Property, plant, and equipment are assets, not shareholders' equity. Cash is also an asset, not a component of shareholders' equity.

What Is One Component of Shareholders' Equity