3. Which of the following is included in the entry to record the issuance of 14,000 shares of $7 par value common stock at $21 per share cash? A) Cash is debited for $294,000. B) Common Stock is debited for $98,000. C) Common Stock is credited for $294,000. D) Paid-In Capital in Excess of ParCommon is debited for $196,000. 4. The following information is from the December 31, 2017 balance sheet of Tudor Corporation. Preferred Stock, $100 par $390,000 Paid-In Capital in Excess of ParPreferred 25,000 Common Stock, $1 par 152,000 Paid-In Capital in Excess of ParCommon 346,000 Retained Earnings 83,900 Total Stockholders' Equity $996,900 What was the total paid-in capital as of December 31, 2017? A) $736,000 B) $996,900 C) $913,000 D) $888,000 On June 30, 2017, Stephans, Inc. showed the following data on the equity section of their balance sheet: Stockholders' equity Common stock, $1 par; 199,000 shares authorized, 157,000 shares issued and outstanding $157,000 Paid-In Capital in Excess of ParCommon $262,000 Retained Earnings 957,000 Total Stockholder's Equity $1,376,000 On July 1, 2017, the company declared and distributed a 6% stock dividend. The market value of the stock at that time was $14 per share. Following this transaction, what is total stockholders' equity? A) $1,376,000 B) $1,558,140 C) $1,302,860 D) $1,208,840 ABC has 61,000 shares of $16.00 par common stock outstanding. ABC announces a stock split of 4-for-1. What is the effect of the split? A) par stays at $16.00; total shares increase to 15,250 B) par drops to $8.00; total shares stay at 61,000 C) par drops to $4.00; total shares increase to 244,000 D) par goes to $64.00; total shares increase to 244,000 Which of the following statements accurately describes the statement of cash flows? A) It shows the relative proportion of debt and assets. B) It is the link between the accrual-based income statement and the cash reported on the balance sheet. C) It indicates when long-term debt will mature. D) It is the link between net income and earnings per share. Valentine Corp. uses the indirect method to prepare the statement of cash flows. Refer to the following section of the comparative balance sheet: Valentine Corp. Comparative Balance Sheet December 31, 2017 and 2016 2017 2016 Increase/(Decrease) Cash $45,000 $27,000 $18,000 Accounts Receivable 48,000 45,000 3,000 Merchandise Inventory 180,000 132,000 48,000 Total Assets $273,000 $204,000 $69,000 How will the change in Merchandise Inventory be shown on the statement of cash flows? A) addition to net income under the operating activities section B) subtraction from net income under the operating activities section C) positive cash flow under the financing activities section D) negative cash flow under the investing activities