7. The current portion of long-term debt should be reported: r Separately in the long-term liabilities section of the balance sheet. In the long-term liabilities section of the balance sheet, along with the other long- term debt. In the current liabilities section of the balance sheet. In a separate section of the balance sheet, between long-term liabilities and shareholders' equity. 8. 11) One advantage of issuing bonds instead of stock is that: c Interest is tax deductible, whereas dividends are not Bonds have a longer maturity date. c Interest rates are lower than dividend rates. The issuance of bonds does not affect earnings per share. 9. Shares that have been sold and are in the hands of stockholders are called: Outstanding. Issued. c Treasury Underwritten. 10. // The net assets of a corporation are equal to: C Total assets - total liabilities. Total assets - retained earnings. Total assets + total liabilities. Total assets + retained earnings. 11. Most preferred stocks have the following characteristics, except: To receive dividends on a preferred basis. C Cumulative dividends. C Voting rights. Callable at the option of the corporation. 12./DIf a corporation has issued a single class of stock, it must be: Common Stock Preferred Stock Stock issued at Par-value. C Cumulative preferred Stock