Question

Stockholders' equity

A. includes paid-in capital and liabilities.
B. is shown on the income statement.
C. includes retained earnings and paid-in capital.
D. is usually equal to cash on hand.

Answer 1

c. includes retained earnings and paid-in capital.

Step-by-step explanation:

Stockholders' equity -

It refers to the amount of assets left in the business after the settlement of the liabilities , is known as stockholders equity.

The total assets minus total liabilities , gives the value of Stockholders' equity.

Hence, from the given information of the question,

The correct option is c. includes retained earnings and paid-in capital .