6. Equipment purchased on January 3, 2018, for $80,000 was depreciated using the straight-line December 31, 2020 for $40,000. What is the gain on the sale of the equipment? method based upon a 5-year life and $7.500 residual yalue. The equipment was sold on a. $3.500 b. $14.500 C. awanA $36.500 d. $43,500 The bank erroneously charged Tropical Services account for $450.50 for a check that was correctly written and recorded by Tropical Services as $540.50. To reconcile the bank account of Tropical Services at the end of the month, you would: Add $90 to the cash balance according to the bank statement. Add $90 to the cash balance according to Tropical Services' records. C. 7 a by Deduct $90 from the cash balance according to the bank statement. Deduct $90 from the cash balance according to Tropical Services' records. d. Journal entries based on the bank reconciliation are required for Additions to the cash balance according to the company's records. b. 8. a. Deductions from the cash balance according to the company's records. Both A and B Neither A nor B. d nuguA ben olo If common stock is issued for an amount areater than par value, the excess should be credited to: a. 9. Cash Retained Earnings. Paid-in Capital in Excess of Par Value. d. Legal Capital. oelon yeb0 b. C. o0n.os 10. Treasury stock is a. stock issued by the U.S. Treasury Department. b. stock purchased by a corporation and held as an investment in its treasury. corporate stock issued by the treasurer of a company. a corporation's own stock which has been reacquired but not canceled. C d. 11. Common Stock Dividends Distributable is classified as a(n) asset account. a. expense account. liability account. d. b. C. stockholders' equity account. 12. Regular dividends are declared out of ced a. Paid-in Capital in Excess of Par Value. b. Treasury Stock c. Common Stock d. Retained Earnings. noov 13. Which of the following is not a significant date with respect to dividends? a. The declaration date b. The incorporation date c. The record date d. The payment date 2