Alan Jackson Inc

In January 2005, Alan Jackson Inc. doubled the amount of its outstanding stock by selling on the market an additional 10,000 shares to finance an expansion of the business. You propose that this information be shown by a footnote on the balance sheet as of December 31, 2004. The president objects, claiming that this sale took place after December 31, 2004, and, therefore, should not be shown. Explain your position.

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