6. Paid in capital and retained earnings are the same o the corporation's books. True False 7. Two types of stock that a corporation can issue are Common stock and Preferred Stock. True False 8. There are two ways of earning money with stocks and they are dividends and ordinary income. True False 9. What are the three dates that are important with dividends? 1. 2. 3. 10. List the three restriction on retained earnings for dividend declarations: 1. 2. 3. 11. Which of the following is NOT a primary reason why corporations invest in debt and equity securities? a. They wish to gain control of a competitor b. They have excess cash c. They wish to move into a new line of business d. They are required by law 12. Debt in investments are initially recorded at: a. Cost b. Cost plus Boston accrued interest c. Fair value d. Face value 13. Boston Company sells debt investment costing $26,000 for $28,000. In journalizing the sale, credits are to: a. Debt Investment and Loss on Sale of Debt b. Debt Investment and Gain on Sale of Debt c. Stock Investments and Gain on Sale of Stock d. No correct answer is given