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Why is a share of Microsoft common stock an asset for its owner and a liability for Microsoft?
On a balance sheet there are three things:
Assets, Liabilities, Shareholders Equity.
A share of stock is Equity, namely a portion of the company and its earnings not owned by the company, traded for something (most often cash). It is a liability because represents a demand on the company assets. Specifically a share of stock is a demand on the companies assets after all other demands are discharged.
total assets - total liabilities = shareholders equity
A share of stock repersents a demand for one slice of the equity.
What else can I help you with?
Why is a share of OGDC common stock an asset for its owner and a liability for OGDC?
why is share of OGDC common stock an asset for its owner and a liability for OGDC?
Why is a share of Oil and Gas Development Corporation an asset for its owner and a liability for OGDC?
Why is a share of OGDC is an asset for its owner and a liability for OGDC?
Is owner's capital a current asset or other asset?
None!- Its liability.
Is owner capital an asset?
no owners capital is not an asset its an internal liability for the company
Are dividends owner's equity or asset or liability or revenues?
If your divident is the result of your own investment, it is an asset. Divident payable is a liability.
Why is a share of OGDC common stock an asset for its owner and a liability for OGDC?
why is share of OGDC common stock an asset for its owner and a liability for OGDC?
Why is a share of Oil and Gas Development Corporation an asset for its owner and a liability for OGDC?
Why is a share of OGDC is an asset for its owner and a liability for OGDC?
Is owner's capital a current asset or other asset?
None!- Its liability.
Is owner capital an asset?
no owners capital is not an asset its an internal liability for the company
Is owner's capital asset?
no owners capital is not an asset its an internal liability for the company
Are dividends owner's equity or asset or liability or revenues?
If your divident is the result of your own investment, it is an asset. Divident payable is a liability.
Is revenue an asset liability or owner's equity?
sales revenue is owner's equity
What is Basic Accounting formula?
asset = liability + owner's equity
Is wage expense asset liability or owner's equity?
neither
Is capital an asset or a liability?
No,Capital is owner's equity i,e owner's contribution to business.
Is a capital a asset or liability?
No,Capital is owner's equity i,e owner's contribution to business.
What will increase one asset and decrease another asset with no effect on liability or owner s equity?
Purchase an asset on cash will increase the purchased asset while reduce the cash amount and no impact on liability or equity section.
