Below is the common equity section (in millions) of Timeless Technology's last two year-end balance sheets: Common stock Retained earnings Total common equity 2015 2014 2,000 1,000 2,000 2,340 $4,000 $3.340 The firm has never paid a dividend to its common stockholders. Which of the following statements is CORRECT? O The market price of the firm's stock doubled in 2015. O The company has more equity than debt on its balance sheet. O The firm had positive net income in both 2014 and 2015, but its net income in 2015 was lower than it was in 2014. O The company's net income in 2015 was higher than in 2014. O The firm issued common stock in 2015.

Below is the common equity section (in millions) of Timeless Technology's last two year-end balance sheets: Common stock Retained earnings Total common equity 2015 2014 2,000 1,000 2,000 2,340 $4,000 $3.340 The firm has never paid a dividend to its common stockholders. Which of the following statements is CORRECT? O The market price of the firm's stock doubled in 2015. O The company has more equity than debt on its balance sheet. O The firm had positive net income in both 2014 and 2015, but its net income in 2015 was lower than it was in 2014. O The company's net income in 2015 was higher than in 2014. O The firm issued common stock in 2015.

Brief Principles of Macroeconomics (MindTap Course List)

8th Edition

ISBN:9781337091985

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter9: The Basic Tools Of Finance

Section: Chapter Questions

Problem 6PA

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