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1) Which of the following is TRUE of a corporation? A) A corporation cannot be privately held. B) The earnings of a corporation may be

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1) Which of the following is TRUE of a corporation? A) A corporation cannot be privately held. B) The earnings of a corporation may be subject to double taxation. C) A corporation has a limited life. D) The stockholders of a corporation have unlimited liability for the corporation's debt. 2) Outstanding stock represents shares of stock that A) are held by the stockholders B) give the owners certain advantages C) have been authorized by state law D) have been issued but may or may not be held by stockholders 3) All City Realty, Inc. issued 7000 shares of $9 par value (PV) common stock for $16 per share. The journal entry to record this transaction includes a credit to A) Common Stock for $112,000 B) Paid In Capital in Excess of PV - Common for $63,000 Common Stock $9 PV for $49,000 D) Paid-In Capital in Excess of PV - Common for $49,000 4) Assume the following information for Western Sales, Inc.as of Jan 1, 2020: Common Stock, $1.00 par, 232,000 shares issued, 185,000 shares outstanding Paid-In Capital in Excess of Par-Common: $1,690,000 Retained Earnings: $2,460,000 Treasury Stock: 47,000 shares purchased at $17 per share If Western Sales purchases an additional 8000 shares of treasury stock at $20 per share on Jan 2, 2020, what number of shares will be shown as issued and outstanding? A) 185,000 issued; 185,000 outstanding B) 224,000 issued; 185,000 outstanding 232,000 issued; 177,000 outstanding D) 232,000 issued; 185,000 outstanding 5) A corporation originally issued $13 par value common stock for $15 per share. Which of the following is included in the entry to record the purchase of 300 shares of treasury stock for $11 per share? A) Treasury Stock-Common is debited for $3300. B) Treasury Stock-Common is credited for $45. C) Retained Earnings is debited for $1650. D) Treasury Stock-Common is debited for $1650

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