A capital lease is accounted for as if the asset has been purchased The borrower is the one who issues a note payable to a creditor. The amount of money a borrower receives from the lender is called discount rate. If, prior to the last weekly payroll period of the calendar year, the cumulative earnings for an employee are $98, 800. earnings subject to social security tax are $100,000. and the tax rate is 6.0%. the employer's social security tax on the $2,000 gross earnings paid on the last day of the year is $120. The financial loss that each stockholder in a corporation can incur is usually limited to the amount invested by the stockholder. For accounting purposes, stated value is treated the same way as par value. The number of shares of outstanding stock is equal to the number of shares authorized minus the number of shares issued. 10. Bondholders are creditors of the issuing corporation. When a corporation issues bonds, it executes a contract with the bondholders, known as a bond Interest payments on 12% bonds with a face value of $20,000 and interest paid semiannual would be every 6 months. the choice that best completes the statement or answers the question. Accumulated Depreciation is used to show the amount of cost expiration of intangibles