190ding stocks to the A) al amount of stock that has not beeld we totalment of stock that has been oned by statelow. shares of stock that are held by the holder D) shares of stock that have been sold for the highest price 159 bonds with a face value of $90,000 resold , the amount o procede Ajmo. B) $192.157. pon. D) . 16 Which of the following statements is true of a corporation A) Shareholders are thorando contracts or make u s e the corporation 1) Shares of cannot be readily bought and sold by eve n the open market The liabilities of the corporation can be paid by the personal of the shareholders D) Corporation pay income tax on corporalemings, and shareholders pay per income tax on corporate dividends and gains from sale of stock * 17 Saturn Corporation has 10,000 shares of 10% par n a tive preferred stock cutanding and 20,000 shares of ne par como lock outstanding At the end of the current year, the corporation declares a dividend of $180.000. How is the dividend allocated between prefered and common Mockholders? A) The dividend is allocated $75,000 to preferred shareholders and 105,000 to common shareholders B) The dividend is allocated $72000 to preferred shareholders and $100.000 to common shareholders The dividend is allocated $6,000 to preferred shareholders and $120,000 to com shareholders D) The dividend is allocated $5,000 to preferred shareholders and $115,000 to common shareholders Green Services invests its excess cash in Creative Technologies and acquires 1,000 shares for $32S. Gen Services and less than 15 of Creative's vos stock Idylans to hold the stock for two you While paring the fouma entry to registration Myang Memlingemente-Helde-Maturity will be debited for sex g-term le g ii Interests will be ing-term Investment Avelable-for-ade will be deed for D) Long- r e ading Investichis will be ched for SUNG The two bank s of stod hodesequilyant A) sted and bands mon stock and preferred stock D) pald-in capital and a dming X One 1, 2015, Seth Services 07 .50% bonde a v ere They wodata p ostal 310 The bande py p e and December 31 of each year. On December 31, 2015. how much is the amount bondholdes? AJUS ESLIZLES 951128.00 14 Outstanding stock refers to the A) total amount of stock that has not been sold yet. B) total amount of stock that has been authorized by state law. shares of stock that are held by the stockholders D) shares of stock that have been sold for the highest price. 15) If bonds with a face value of $200,000 are sold at 98, the amount of cash proceeds is A) $202,000 B) $192.157. $200,000. D) $196,000. 16) Which of the following statements is true of a corporation? A) Shareholders are authorized to sign contracts or make business commitments on behalf of the corporation B) Shares of stock cannot be readily bought and sold by investors on the open market The liabilities of the corporation can be paid by the personal assets of the shareholders D) Corporations pay Income tax on corporate eamings, and shareholders pay personal income tax on corporate dividends and gains from sale of stock * 17) Saturn Corporation has 10,000 shares of 10%, $75 par noncumulative preferred stock outstanding and 20,000 shares of no-par common stock outstanding. At the end of the current year, the corporation declares a dividend of $180,000. How is the dividend allocated between preferred and common stockholders? A) The dividend is allocated $75,000 to preferred shareholders and $105,000 to common shareholders. B) The dividend is allocated $72,000 to preferred shareholders and $108,000 to common shareholders. C) The dividend is allocated $60,000 to preferred shareholders and $120,000 to common shareholders. D) The dividend is allocated $5,000 to preferred shareholders and $115,000 to common shareholders. a 18) Green Services invests its excess cash in Creative Technologies and acquires 1000 shares for $53.25. Green Servies owns less than 1% of Creative's voting stock and plans to hold the stock for two yeay While pengaring the foumal entry to reagird this transaction W ong Kerm Investments-Held-ho-Maturity will be debited for $53.250. A) Dong-term Investments Significati. Interest Investments will be debites for $3,250. Long-term Investments -- Available for Sale will be debited for $53.230. D) Long-term Investments Trading Investments will be credited for $63,250. 18) The two basic sources of stockholders' equity are A) common stock and bonds common stock and preferred stock B) loans from banks and gifts from donors. D) paid-in capital and retained earnings X 19) On June 1, 2015, Smith Services issued $30,000 of 7.50% bonds that mature in five years. They were sold at a premium, for a total of $31,250. The bonds pay semiannual interest payments on June 30 and December 31 of each year. On December 31, 2015, how much is the total amount paid to bondholders? A) $2,343.75 B) $1,171.88 $1,125.00 D) $2,250.00