Stockholders’ Equity:

Accounting and

Reporting

Course Description:

Stockholders’ equity represents the cumulative net contributions by stockholders plus accumulated earnings less dividends. Stockholders’ equity  is synonymous with net worth, or net assets (assets less liabilities). This course discusses the accounting, financial statement presentation, and disclosures associated with preferred and common stock, stock retirement, treasury stock, dividends, appropriation of retained earnings, stock splits, stock warrants (including fractional share warrants), and quasi-reorganization.

Learning Objectives:

Upon successful completion of this course, participants will be able to:

• Account for common and preferred stock
• Differentiate between stock retirement and treasury stock
• Explain reasons for acquiring treasury stock
• Compute payment of dividends
• State reasons for splitting stocks
• Differentiate between stock rights and warrants; and
• Explain how stockholders’ equity is presented