Questions from Financial Accounting

Q: Josselle Corporation retires its bonds at 106 on January 1, after

Josselle Corporation retires its bonds at 106 on January 1, after the payment of interest. The face value of the bonds is $750,000. The carrying value of the bonds at retirement is $775,600. The entry...

Q: Corporate bonds that can be exchanged for shares of the corporation’s common

Corporate bonds that can be exchanged for shares of the corporation’s common stock if certain conditions are met are called a. callable bonds. b. equity bonds. c. convertible bonds. d. exchangeable bo...

Q: Which of the following items is most likely a short-term

Which of the following items is most likely a short-term liability? a. Deferred income taxes b. Finance lease covering 30-year term c. Bonds payable d. Accounts payable

Q: The Red Wagon Shop had the following inventory data: /

The Red Wagon Shop had the following inventory data: Company managers need to know the company’s gross profit percentage and rate of inventory turnover for 2018 under 1. FIFO. 2. L...

Q: Cases Unlimited reported operating income of $780,000, interest

Cases Unlimited reported operating income of $780,000, interest expense of $120,000, and net income of $575,000. The weighted-average number of shares of common stock outstanding during the year was 1...

Q: The leverage ratio is equal to average total divided by average.

The leverage ratio is equal to average total divided by average. a. long-term debt; common stockholders’ equity b. assets; common stockholders’ equity c. debt; total assets d. debt; common stockholder...

Q: Apollo Corporation issued $300,000, five-year bonds

Apollo Corporation issued $300,000, five-year bonds at 98 on January 1, 2016. On December 31, 2020, the bonds matured. The payment of the bonds at maturity would be reported on the statement of cash f...

Q: The basic form of capital stock is a. par value

The basic form of capital stock is a. par value stock. b. the corporate charter. c. a share of preferred stock. d. a share of common stock.

Q: Spirit World, Inc., issued 250,000 shares of no

Spirit World, Inc., issued 250,000 shares of no-par common stock for $5 per share. The journal entry to record the issuance would be:

Q: What is total paid-in capital for Sportplace? (Assume

What is total paid-in capital for Sportplace? (Assume that treasury stock does not reduce total paid-in capital.) a. $632,300 b. $709,900 c. $643,700 d. $638,000 e. None of the above