Discussion on stocks transaction
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Consider the issue of stock other than cash and respond to the following:
•What ethical challenges can a company face while issuing stock other than cash?
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Solution Summary
Discuss the ethical challenges can a company face when it issues stocks for consideration other than cash.
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When a company is issuing stocks for considerations other than cash, the question is how much should the company value such issuance. First, a company can exchange its stocks as payments for services received, or even in exchange for properties it purchased such as land and equipment. Second, the value of the transactions should be ...
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