29. When bonds are issued by a company, the accounting entry shows an increase in liabilities and a decrease in stockholders' equity. a. b. increase in liabilities and an increase in stockholders' equity. increase in assets and an increase in liabilities. c. d. increase in assets and an increase in stockholders' equity. 30. Brumfield, Inc. issued 5,000 shares of S1 par common stock for $30 per share. In addition to the increase in cash, what effect does this transaction have on Brumfield's accounting equation? a. Common stock increases $5,000 and Retained earnings increases $145,000. b. Common stock increases $5,000 and Additional Paid-in Capital increases 145,000. c. Common stock increases $150,000. d. Common stock increases $145,000 and Additional Paid-in Capital increases $5,000. 31. Which one of the following statements is FALSE about closing entries? a. Balance sheet accounts are permanent accounts b. Asset and liability accounts are temporary accounts c. In the journal entries, revenues get debited d. In the journal entries, expenses get credited 32.If purchases are $20,000, beginning inventory is $5,000, and ending inventory is $7,000, what is of goods sold? a. $5,000 b. $7,000 c $18,000 d. $32,000 33. If a company buys back some of its own common stock, what would the impact on the financial statements be? a. Increase in assets, decrease in stockholders' equity b. Decrease in assets, decrease in stockholders' equity c. Increase in assets, increase in stockholders' equity d. decrease in assets, increase in stockholders' equity 34. On a statement of cash flows, which one of the following is an example of a cash outflow from financing activity (a subtraction in the financing section)? a. Payment of dividends to stockholders b. Purchase of property, plant, and equipment c. An increase in accounts payable d. A decrease in accounts receivable