Company Baldwin invested $50,460,000 in plant and equipment last year. The plant investment was funded with bonds at a face value of $33,608,786 at 13.7% interest, and equity of $16,851,214. Depreciation is 15 years straight line. For this transaction alone which of the following statements are true?

Select : 5

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• On the Balance sheet, Plant & Equipment increased by $50,460,000.
• On the Balance sheet, Long Term Debt changed by $33,608,786.
• Since the new plant was funded with debt and equity, on the Balance sheet Retained Earnings decreased by $16,851,214, the difference between the investment $50,460,000 and the bond $33,608,786.
• Depreciation increased by $3,364,000.
• Buying the plant had no net effect on the Cash account, because the plant was paid for by the bond plus retained earnings.
• Cash went up when the Bond was issued by $33,608,786.
• Cash went down by $50,460,000 when the plant was purchased.
• Cash was pulled from retained earnings to cover the $16,851,214 difference between the plant purchase and bond issue.