Table of contents

1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

12. Stockholders' Equity

Characteristics of a Corporation

Financial Accounting

12. Stockholders' Equity

Characteristics of a Corporation

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Multiple Choice

Which of the following are elected by shareholders to represent their interests in a corporation?

Board of Directors

Chief Executive Officer (CEO)

Auditors

Creditors

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Verified step by step guidance

Understand the role of shareholders in a corporation: Shareholders are the owners of the corporation and have the right to vote on certain matters, including the election of representatives to oversee the company's management.

Learn about the Board of Directors: The Board of Directors is a group of individuals elected by shareholders to represent their interests. They are responsible for making major decisions, setting policies, and overseeing the management of the corporation.

Differentiate between the roles: The Chief Executive Officer (CEO) is appointed by the Board of Directors and is responsible for the day-to-day operations of the company. Auditors are external professionals who review the company's financial statements for accuracy and compliance, and creditors are entities or individuals to whom the company owes money.

Focus on the election process: Shareholders directly elect the Board of Directors during annual general meetings or special meetings. The CEO, auditors, and creditors are not elected by shareholders but are appointed or engaged through other processes.

Conclude that the correct answer is the Board of Directors: Shareholders elect the Board of Directors to represent their interests in the corporation, as they are directly involved in governance and oversight.