Assume that the following information is relevant for one of the bond issues of Joanna Inc.: Item Value Face Value $500,000 Bond Term 10 Years Stated Interest Rate (paid Semiannually) 12.00 % Market Interest Rate 9.00 % Issue Date 1/1/2017 Interest Payment dates each year Jun 30 & Dec 31 Note: the steps to solve Bond Problems are: Present Value Factors: 4.5% 6% 9% 12% Present value of 1 for 10 periods: 0.644 0.558 0.422 0.322 Present value of 1 for 20 periods: 0.415 0.312 0.178 0.104 Present Value Factors: 4.5% 6% 8% 12% Present value of annuity for 10 periods: 7.913 7.360 6.418 5.650 Present value of annuity for 20 periods: 13.008 11.470 9.129 7.469 The amount of interest expense to be recognized for the entire year 2017 using the effective interest method is (rounded to nearest cent): A. none of the above. B. $53,796.60. C. $53,936.18. D. $30,043.20. E. $53,657.02. 3.33334 points Question 4 Use the following information for the next four questions: (Question 4 of 4) Assume that the following information is relevant for one of the bond issues of Joanna Inc.: Item Value Face Value $500,000 Bond Term 10 Years Stated Interest Rate (paid Semiannually) 12.00 % Market Interest Rate 9.00 % Issue Date 1/1/2017 Interest Payment dates each year Jun 30 & Dec 31 Note: the steps to solve Bond Problems are: Present Value Factors: 4.5% 6% 9% 12% Present value of 1 for 10 periods: 0.644 0.558 0.422 0.322 Present value of 1 for 20 periods: 0.415 0.312 0.178 0.104 Present Value Factors: 4.5% 6% 8% 12% Present value of annuity for 10 periods: 7.913 7.360 6.418 5.650 Present value of annuity for 20 periods: 13.008 11.470 9.129 7.469 The amount of bond interest paid in cash during the entire year 2017 is: A. $45,000. B. $60,000. C. $30,000. D. $22,500. E. none of the above. 3.33334 points Question 5 When preparing the balance sheet for AAA, Inc. for December 31, 2015, which item would not be classified as a current liability? A. Accounts payable B. The current portion of a 30-year mortgage C. None of the above D. Income taxes due on September 15, 2016 E. Note payable due March 1, 2017 3.33334 points Question 6 A company typically records the amount owed to suppliers for goods or services when: A. a verbal commitment to purchase the goods or services has first been made. B. payment is made. C. they are ordered. D. None of the above. E. the goods or services are received. 3.33334 points Question 7 The maturity date of a 180-day note dated August 15, 2021, is: (REMEMBER: 30 days as Sept, April, June & Nov, ALL the Rest have 31, except for Feb) A. February 15, 2022 B. February 12, 2022 C. February 11, 2022 D. February 13, 2022 E. February 10, 2022 3.33334 points Question 8 If a company's gross salaries and wages are $12,000, and it withholds $1,800 for income taxes and $800 for FICA taxes, the journal entry to record the employees' pay should include a: A. debit to Salaries and Wages Expense for $9,400. B. debit to Salaries and Wages Payable for $9,400. C. credit to Salaries and Wages Payable for $9,400. D. credit to Salaries and Wages Payable for $12,000. E. None of the above. 3.33334 points Question 9 Which of the following must be paid by both the employee and the employer? A. FICA taxes B. Federal unemployment tax C. State unemployment tax D. State withholding tax E. None of the above 3.33334 points Question 10 On October 1, Angelica Inc. signs a note for $200,000 to provide the funds needed to build a new facility. The note is due in 10 years, includes an annual interest rate at 7%, and requires semiannual interest payments each April and October. The journal entry to record the issuance of the promissory note should debit: A. None of the above. B. Cash for $200,000, debit Interest Expense for $14,000, credit Notes Payable for $200,000, and credit Interest Payable $14,000. C. Accrued Interest and credit Cash for $14,000. D. Cash and credit Notes Payable for $200,000. E. Notes Payable for $200,000, debit Interest Expense for $14,000, credit Cash for $200,000, and credit Interest Payable for $14,000. 3.33334 points Question 11 Advantages of the corporate form include all of the following except: A. legal liability of its owners is unlimited. B. ownership interests are transferrable. C. None of the above. D. shares can be purchased in small amounts. E. easy to raise capital. 3.33334 points Question 12 Which of the following is an advantage of debt financing? A. It does not have to be repaid. B. Interest is tax deductible. C. Interest is discretionary. D. It reduces stockholder control. E. None of the above. 3.33334 points Question 13 All of the following are a part of contributed capital except: A. Common Stock. B. Additional Paid-in Capital. C. Retained Earnings. D. None of the above. E. Preferred Stock. 3.33334 points Question 14 Treasury stock is reported in the: A. operating section of the income statement. B. None of the above. C. financing section of the income statement. D. liability section of the balance sheet. E. stockholders equity section of the balance sheet. 3.33334 points Question 15 Use the following information for the next four questions: (QUESTION 1 of 4) Viola Corporations ledger includes the following selected account balances at December 31, 2019: Account Amount Paid-in Capital in Excess of Par Value, Common 580,000 Cash 800,000 Unearned Revenue 55,000 Retained Earnings 300,000 Cash Dividends Payable 80,000 Treasury Stock, Common, 10,000 shares 40,000 Preferred Stock, 12% $100 par value, 4,000 shares issued 400,000 Bonds Payable, 14% 900,000 Common Stock, $1 par value, 190,000 shares issued 190,000 The balance sheet prepared at December 31, 2019, would report total stockholders' equity of: A. $1,450,000. B. $1,470,000. C. $1,430,000. D. $1,510,000. E. none of the above. 3.33334 points Question 16 Use the following information for the next four questions: (QUESTION 2 of 4) Viola Corporations ledger includes the following selected account balances at December 31, 2019: Account Amount Paid-in Capital in Excess of Par Value, Common 580,000 Cash 800,000 Unearned Revenue 55,000 Retained Earnings 300,000 Cash Dividends Payable 80,000 Treasury Stock, Common, 10,000 shares 40,000 Preferred Stock, 12% $100 par value, 4,000 shares issued 400,000 Bonds Payable, 14% 900,000 Common Stock, $1 par value, 190,000 shares issued 190,000 The number of common shares outstanding at December 31, 2019 would be: A. 180,000. B. 150,000. C. 190,000. D. none of the above. E. 194,000. 3.33334 points Question 17 Use the following information for the next four questions: (QUESTION 3 of 4) Viola Corporations ledger includes the following selected account balances at December 31, 2019: Account Amount Paid-in Capital in Excess of Par Value, Common 580,000 Cash 800,000 Unearned Revenue 55,000 Retained Earnings 300,000 Cash Dividends Payable 80,000 Treasury Stock, Common, 10,000 shares 40,000 Preferred Stock, 12% $100 par value, 4,000 shares issued 400,000 Bonds Payable, 14% 900,000 Common Stock, $1 par value, 190,000 shares issued 190,000 Assuming the Preferred Stock is Cumulative, the preferred shareholders would be entitled to receive total annual dividends of: A. $ 70,800. B. $ 48,000. C. $400,000. D. none of the above. E. $ 40,000. 3.33334 points Question 18 Use the following information for the next four questions: (QUESTION 4 of 4) Viola Corporations ledger includes the following selected account balances at December 31, 2019: Account Amount Paid-in Capital in Excess of Par Value, Common 580,000 Cash 800,000 Unearned Revenue 55,000 Retained Earnings 300,000 Cash Dividends Payable 80,000 Treasury Stock, Common, 10,000 shares 40,000 Preferred Stock, 12% $100 par value, 4,000 shares issued 400,000 Bonds Payable, 14% 900,000 Common Stock, $1 par value, 190,000 shares issued 190,000 How much is the book value per share of common stock at December 31, 2019, assuming the preferred stocks liquidation value is equal to the par value and dividends are in arrears for a total of two years? (Round answer to the nearest whole cent.) A. $5.19 B. $5.72 C. None of the above. D. $5.46 E. $5.42 3.33334 points Question 19 How would total retained earnings be affected by the declaration and payment of a cash dividend? A. Increase B. Decrease C. Exactly Double D. Cannot tell based on this information E. No effect 3.33334 points Question 20 How would total liabilities be affected by the declaration and payment of a stock dividend? A. Increase B. Decrease C. Cannot tell based on this information D. No effect 3.33334 points Question 21 Which of the following statements about the statement of cash flows is not correct? A. It provides information about cash receipts and cash payments over a period of time. B. It provides details as to how cash changed during a period. C. None of the above D. It does not replace the income statement. E. It measures profitability. 3.33334 points Question 22 Which of the following would be included in cash flows from investing activities? A. Cash collected from customers B. Cash dividends paid C. Cash received from an issuance of bonds D. None of the above E. Cash used to purchase equipment 3.33334 points Question 23 How is the change in cash classified on the statement of cash flows? A. It is found in the financing activities section of the statement. B. It is found in the operating activities section of the statement. C. It is the sum of the investing, operating, and financing activities sections. D. It is found in the investing activities section of the statement. E. None of the above. 3.33334 points Question 24 A piece of equipment with a cost of $130,000 and accumulated depreciation of $85,000 is sold for $50,000 cash. The amount that should be reported as a cash inflow from investing activities is: A. $5,000. B. $45,000. C. $0; this transaction is a financing activity. D. None of the above. E. $50,000. 3.33334 points Question 25 USE THE FOLLOWING INFORMATION FOR THE NEXT SIX QUESTIONS: (QUESTION 1 of 6) Cash collections from customers during 2019 amounted to: A. $990,000. B. $890,000. C. $780,000. D. $940,000. E. none of the above. 3.33334 points Question 26 USE THE FOLLOWING INFORMATION FOR THE NEXT SIX QUESTIONS: (QUESTION 2 of 6) Cash payments to suppliers for merchandise inventory during 2019 amounted to: A. $ 470,000. B. $ 510,000. C. $ 530,000. D. none of the above. E. $ 490,000. 3.33334 points Question 27 USE THE FOLLOWING INFORMATION FOR THE NEXT SIX QUESTIONS: (QUESTION 3 of 6) Cash payments for salaries during 2019 amounted to: A. none of the above. B. $ 194,000. C. $ 200,000. D. $ 206,000. E. $ 207,000. 3.33334 points Question 28 USE THE FOLLOWING INFORMATION FOR THE NEXT SIX QUESTIONS: (QUESTION 4 of 6) Cash payments for rent during 2019 amounted to: A. $ 82,000. B. $ 88,000. C. $ 58,000. D. $ 70,000. E. none of the above. 3.33334 points Question 29 USE THE FOLLOWING INFORMATION FOR THE NEXT SIX QUESTIONS: (QUESTION 5 of 6) Cash payments from operations for Loss on Sale of Land during 2019 amounted to: A. none of the above. B. $ 60,000. C. $ 30,000 D. $ 0. E. $ 20,000. 3.33334 points Question 30 USE THE FOLLOWING INFORMATION FOR THE NEXT SIX QUESTIONS: (QUESTION 6 of 6) Cash payments for income taxes during 2019 amounted to: A. $ 40,000 B. $ 41,000. C. $ 1,000 D. $ 39,000. E. none of the above 3.33334 points Question 31 (BONUS) The three key pieces of information that are stated on a bond certificate are the: A. market interest rate, the price of the bond, and the maturity date. B. interest payment, the face value of the bond, and the credit rating of the company. C. interest payment, the issue price of the bond, and the credit rating of the company. D. None of the above. E. stated interest rate, the face value of the bond, and the maturity date. 3.33334 points (Extra Credit) Question 32 (BONUS) How would total assets be affected by the declaration and payment of a stock dividend? A. Decrease B. Increase C. Cannot tell based on this information D. No effect 3.33334 points (Extra Credit) Question 33 (BONUS) If interest revenue for the period is $14,000 and the beginning and ending interest receivable balances are $1,320 and $5,900, respectively, cash received for interest is: Use the T-Accounts below to help you solve this problem: A. $14,000. B. None of the above. C. $18,500. D. $8,100. E. $9,420. 3.33334 points (Extra Credit) Click Save and Subm