Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

22) Eastline Corporation had 11,500 shares of $5 par value common stock outstanding when the boar of directors declared a stock dividend of 3795 shares.

image text in transcribed
22) Eastline Corporation had 11,500 shares of $5 par value common stock outstanding when the boar of directors declared a stock dividend of 3795 shares. At the time of the stock dividend, the marker value per share was $15. The entry to record this dividend is A) Debit Common Stock Dividend Distributable $56,925; credit Retained Earnings 56,925. B) Debit Retained Earnings $56,925; credit Common Stock Dividend Distributable $36,925. C) Debit Retained Earnings 556,925; credit Common Stock Dividend Distributable $18,975; credit Paid-In Capital in Excess of Par Value, Common Stock $37,950. D) Debit Retained Earnings $18,975; credit Common Stock Dividend Distributable $18,975. E) No entry is needed. 23) The statement of cash flows reports: A) Changes in equity. B) Assets, liabilities, and equity. C) Equity, net income, and dividends. D) Revenues, gains, expenses, and losses. E) Cash inflows and cash outflows for an accounting period. 24) The statement of cash flows reports all but which of the following: A) Cash flows from financing activities. B) Significant noncash financing and investing activities. C) The financial position of the company at the end of the accounting period. D) Cash flows from investing activities. E) Cash flows from operating activities. 25) The statement of cash flows is: A) Another name for the statement of financial position. B) A financial statement that lists the types and amounts of assets, liabilities, and equity of a business on a specific date. C) A financial statement that presents information about changes in equity during a period. D) A financial statement that lists the types and amounts of the revenues and expenses of a business for an accounting period. E) A financial statement that reports the cash inflows and cash outflows for an accounting period, and that classifies those cash flows as operating activities, investing activities, or financing activities. 26) An investment that is readily convertible to a known amount of cash and that is sufficiently close to its maturity date so that its market value is unaffected by interest rate changes is an): A) Common stock. B) Operating activity. C) Cash equivalent. D) Short-term marketable equity security. E) Financing activity

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting Theory

Authors: Craig Deegan

3rd Edition

0070277265, 978-0070277267

More Books

Students also viewed these Accounting questions

Question

Do you agree that unions stifle creativity? Why or why not?

Answered: 1 week ago

Question

6 What is the selection phase?

Answered: 1 week ago