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Clicker Question Preparation Guide: Ch. 11 \& 7 D2L quiz questions will be asked in class based on your completion of this preparation guide. Example in class question: What is the debit account in Question 2a? You will not have time to complete this gulde in class! You are required to handwrite your answers to this assignment. 1) Smart Homes Co, issues 4,500 shares of $1 par value common stock for $19 per share. a. What is the joumal entry to record this transaction? (You may or may not need all rows of this textbox). What is the wou vepurcnases 350 of its own $1 par common stock for $24 per share. this textbox). c. Assuming the above transactions represent all of the common stock activity of Smart. Homes Co. how many common shares are issued? d. Assuming the above transactions represent all of the common stock activity of Smart. Homes Co., how many common shares are in treasury? e. Assuming the above transactions represent all of the common stock activity of Smart Homes Co, how many common shares are outstanding? 2) On Oct. 1, 2022, the board of directors of Purple Inc. declared a $3.00 per share cash dividend on 95,000 shares of $1 par value common stock. The dividend will be paid to stockholders who own shares on Dec. 31, 2022. The dividend will be paid on Feb. 1, 2023. What joumal entry, if any, is required on each of the following dates? a. Oct. 1, 2022 b. Dec. 31,2022 c. Feb. 1, 2023 3) At Hana Caf, Lilo \& Stitch use the same cash register drawer. a. What principle of internal control is being violated? b. How could a new policy improve this intemal control violation? 4) The employee responsible for the CDE Co's checks keeps the checks in an unlocked desk a. What principle of internal control is being violated? b. How could a new policy improve this internal control violation? 5) Nick Cordero is concerned with internal controls over checks received from customers at Brick Stone Co. All checks received in the mail are sent to the accounting department, where they are stamped "For Deposit Only". The accounting department records the checks and also deposits the checks weekly. a. What principle of internal control is being violated? b. How could a new policy improve this internal control violation? 6) GBC Co. prepares customer invoices on plain blank paper. a. What principle of internal control is being violated? b. How could a new policy improve this internal control violation? 7) On July 31, 2023, Roads Company had a cash balance per books of $18,894. The statement from Star Bank on that date showed a balance of $11,328. A comparison of the bank statement with the cash account revealed the following facts: - The bank service charge for July was $90. - The bank collected an Electronic Funds Transfer (EFT) from a customer of Roads Company for $2,300. - Company check No. 3839 issued to T. Laird, a creditor, for $924 cleared the bank in July but was incorrectly recorded by the company for $848. - Checks outstanding on July 31 totaled $1,100. - Deposits in transit on July 31 totaled $9,500. - On July 31, the bank statement showed an NSF charge of $1,300 for a check received by the company from a customer, A. Cajias, which had been a payment on account. a. Prepare the bank reconciliation below: Cash Balance Per Books Cash Balance Per Bank Adjusted Balance: Adjusted Balance: b. Prepare the necessary joumal entries that Roads Company needs to record