At acquisition, debt securities are: A) Recorded at their cost, plus total interest that will be received over the life of the security. B) Recorded at the amount of interest that will be received over the life of the security. C) Recorded at cost. D) Not recorded, because no interest is due yet. Roe Corporation owns 2,000 shares of WRJ Corporation stock. WRJ Corporation has 25,000 shares of stock outstanding. WRJ paid $4 per share in cash dividends to its stockholders. The entry to record the receipt of these dividends is: A) Debit Cash, $8,000; credit Long-Term Investments, $8,000. B) Debt Long-Term Investment, $8,000; credit Cash, $8,000. C) Debit Cash, $8,000; credit Interest Revenue, $8,000. D) Debit Cash, $8,000; credit Dividend Revenue, $8,000. I Strickland Corporation has invested in 10% of the outstanding stock of Nez Corporation. Strickland intends to actively manage this investment for profit. This investment is classified as: A) an available-for-sale security. B) a held-to-maturity security. C) a trading security. D) a significant influence security Debt Investments-Trading and Stock Investments-Insignificant Influence are similar because both are: A) reported at cost. B) reported at fair value with an adjustment to net income. C) liabilities. D) reported using the equity method. Equity investments less than 20%: A) have significant influence. B) are accounted for using the equity method. C) do not require an accounting transaction because of the small percentage. D) have insignificant influence. On July 1, Dell paid $30,000 to buy Ling's 7%, 4-year bonds. This is considered: A) a liability B) a debt investment C) an equity investment. D) a current asset