please answer 245, 246, 247, 240, and 241
244) The Trueblood Criterion is used: A) By managers to maximize reported income B) By managers to smooth reported income C) By managers to make decisions OBy accountants to make rules for financial reporting 245) When a company makes an end-of-period adjusting entry that includes a credit to Prepaid Rent, the debit is usually made to: A) Rent Receivable. C) Rent Expense B) Cash. D) Rent Payable. 246) ABC issues 1,000 shares of 6%, S i 00 par value preferred stock at the beginning of 201 7, All remaining shares are common stock. The company was not able to pay dividends in 2017, but plans to pay dividends of $18,000 in 2018. Assuming the preferred stock is noncumulative, how much of the $18,000 dividend will be paid to preferred stockholders and how much will be paid to common stockholders in 2018? A) $9,000 to preferred stockholders and $9,000 to common stockholders. B) $12,000 to preferred stockholders and $6,000 to common stockholders. re sid Rh C) $6,000 to preferred stockholders and $12,000 to common stockholders D) $18,000 to preferred stockholders and S0 to common stockholders 247) Net sales $2,800 Cost of goods sold 1,680 Operating expenses 880 Ending inventories 820 What is the gross profit ratio? 2A)40%. D) 49%, C) 80%. B) 5%. 248) On December 1, 2018, ABC signed a $300,000, 596, six-month note payable with the amount borrowed plus accrued interest due six months later on June 1, 2019. ABC should record which of the following adjusting entries at December 31, 2018? A Debit Interest Expense and credit Interest Payable, $1,250. Debit Interest Expense and credit Cash, $1,250. C) Debit Interest Expense and credit Interest Payable, $7,500. D) Debit Interest Expense and credit Cash, $7,500. 249) Which statement is true The accounting for a Defined Benefit Pension Plan usually requires an actuary The accounting for an Operating Lease usually requires an actuary C) The accounting for a Defined contribution pension Plan usually requires an'actuarmound D) The accounting for a Capital (Financing) Lease usually requires an actuaryof 30 239) ABC borrowed $100,000 on November 1, 2018, and signed a six-month note bearing interest at 12%. Principal and interest are payable in full at maturity on May 1-2019. In connection with this ABC should report interest expense in 2019 for the amount of D) so. C) 56,000 B) $2,000. 240) On January I, ABC sold $30,000 in products to a customer on account. Then on January 10, ABC collected the cash on that account. What is the impact on ABC's accounting equation from the collection of cash on January 10? A) No net effect on the accounting equation B) Assets increase and stockholders' equity increases C) Assets decrease and liabilities decrease. D) Assets increase and liabilities decrease. 241) The balance sheet of ABC reports total liabilities of $2,000,000. The debt to equity ratio is 2.5. What is ABC's stockholders' equity A) $800,000 D) $2,000,000 B)$1,000,000 C) $320,000 242) ABC issues $10 million in bonds on January 1, 2018. The bonds have a ten-year terth and pay interest semiannually on June 30 and December 31 each year. Below is a partial bond amortization schedule for the bonds Cash Paid Increase in Carrying Value Date Interest Expense Carrying Value $8,640,967 1/1/2018 8,686,606 iis2 5 $300,000$345,639 $45,639 6/30/2018 47,464 12/31/2018 347,464 300,000 8,734,070 349,363 6/30/2019 300,000 49,363 8,783,433 12/31/2019 351,337 51,337 8,834,730 What is the stated annual rate of interest on the bonds? (Hint: Be sure to provide the annual hte than the six month rate) A ) 6%. B) 3%. C) 8%. 243) ABC purchased equipment for $60,000 on January 1,2018. The equipment is expected to have a five-year life, with a residual value of $5,000 at the end of five years. Using the double-declining balance method, depreciation expense for 2018 would be A) $19,000 C) $22,000. D) $20,000 30
