1. (TCO E) Stockholders' equity is generally classified into two major categories: (Points : 5)

contributed capital and appropriated capital. appropriated capital and retained earnings. retained earnings and unappropriated capital. earned capital and contributed capital.

Question 2. 2. (TCO E) Which of the following represents the total number of shares that a corporation may issue under the terms of its charter? (Points : 5)

Authorized shares Issued shares Unissued shares Outstanding shares

Question 3. 3. (TCO E) Manning Company issued 10,000 shares of its $5 par value common stock having a market value of $25 per share, and 15,000 shares of its $15 par value preferred stock having a market value of $20 per share, all for a lump sum of $480,000. How much of the proceeds would be allocated to the common stock? (Points : 5)

$50,000 $218,182 $250,000 $255,000

Question 4. 4. (TCO F) Colson Inc. declared a $160,000 cash dividend. It currently has 6,000 shares of 7%, $100 par value cumulative preferred stock outstanding. It is 1 year in arrears on its preferred stock. How much cash will Colson distribute to the common stockholders? (Points : 5)

$76,000. $84,000. $118,000. None

Question 5. 5. (TCO F) Written, Inc. has 300,000 outstanding shares of $2 par common stock and 60,000 shares of no-par 8% preferred stock with a stated value of $5. The preferred stock is cumulative and nonparticipating. Dividends have been paid in every year except the past 2 years and the current year. Assuming that $150,000 will be distributed as a dividend in the current year, how much will the common stockholders receive? (Points : 5)

Zero $78,000 $102,000 $126,000.