In January 2019, Janeway AG doubled the amount of its outstanding shares by selling an additional 10,000 shares to finance an expansion of the business. You propose that this information be shown by a footnote to the statement of financial position as of December 31, 2019. The president objects, claiming that this sale took place after December 31, 2019, and, therefore, should not be shown. Explain your position

Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
ChapterA2: Investments
Section: Chapter Questions
Problem 25E
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In January 2019, Janeway AG doubled the amount of its outstanding shares by selling an additional 10,000 shares to finance an expansion of the business. You propose that this information be shown by a footnote to the statement of financial position as of December 31, 2019. The president objects, claiming that this sale took place after December 31, 2019, and, therefore, should not be shown. Explain your position

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