5. Mendes Charters reported the following information at December 31, 2015:

Preferred stock, $100 par, 500 shares authorized, and outstanding; cumulative; nonparticipating; callable at par value	$50,000
Common stock, $12 par, 50,000 shares authorized and outstanding	600,000
Additional paid-in capital--Common	25,000
Retained earnings	825,000

Mendes' total contributed capital is:

a. $650,000

b. $675,000

c. $625,000

d. $1,500,000

13. Fairchild Company acquired a building valued at $210,000 for property tax purposes in exchange for 6,000 shares of its $10 par common stock. The stock is widely traded and selling for $31 per share. At what amount should the building be recorded by Fairchild Company?

a. $186,000

b. $150,000

c. $210,000

d. $60,000

20. Which of the following is not a current reporting requirement for a statement that reports changes in cash over a period of time?

a. Cash equivalents must be combined with cash in preparing this statement

b. This statement must classify cash flows into three categories: operating, investing, and financing activities

c. Working capital may be used as a substitute for cash in preparing this statement

d. The title for this statement is "Statement of Cash Flows"

27. Which method of preparing the operating activities section of a statement of cash flows reports major classes of gross cash receipts and cash payments for revenues and expenses?

a. Both the direct method and the indirect method

b. Neither the direct method nor the indirect method

c. The indirect method

d. The direct method