38. The corporate charter identifies the maximum number of shares of stock the corporation may issue, which is called 'available for issue' stock.

39. A note payable can be classified either as a long-term liability or a short-term liability, depending on the discretion of the accountant.

40. On December 1, 2018, Modern Dining Products borrowed $84,000 on a 12%, 5-year note with annual installment payments of $16,800 plus interest due on December 1 of each succeeding year. On December 1, the principal amount was recorded as a long-term note payable. What amount of the note payable will be shown as current portion of Long-Term Note Payable on the balance sheet as of December 31, 2018? (Round your answer to nearest whole number.)

A) $16,800

B) $26,880

C) $10,080

D) $33,600

41. Get Away Vacations signed a 14%, 10-year note for $157,000. The company paid an installment of $2100 for the first month. What portion of the first monthly payment is interest expense? (Do not round any intermediate calculations, and round your final answer to the nearest dollar.)

A) $268

B) $35,063

C) $15,183

D) $1832

42. On January 1, 2018, Benbrook Company purchased equipment and signed a six-year mortgage note for $160,000 at 15%. The note will be paid in equal annual installments of $42,278, beginning January 1, 2019. Calculate the balance of Mortgage Payable after the payment of the first installment. (Round your answer to the nearest whole number.) A) $24,000 B) $117,722 C) $141,722 D) $120,702

43. Significant influence equity investments are reported as current assets on the balance sheet.

44. No significant influence equity investments generally involve the ownership of less than 20% of the investee's voting stock.

45) Which type of debt security is always categorized as a current asset?

A) available-for-sale debt investments

B) trading debt investments

C) held-to-maturity debt investments

D) Each of these choices can be categorized as long-term if the investor intends to hold the investment for longer than one year.