QUESTION 38 On July 15, 2019, the board of directors of Sugarloaf Corporation declared a cash dividend to be paid on August 15, 2019, to stockholders of record on July 31, 2019. Which of the following is included in the journal entry on July 15, 2019? O A. No entry is recorded on the dividend declaration date. OB. Debit to Cash Dividends. O C. Credit to Cash. OD. Debit to Dividends Payable. QUESTION 39 All of the following are characteristics more closely associated with preferred stock except O A. Preference as to assets upon liquidation of the corporation. The right to vote at stockholders' meetings. OB. O C. The right to cumulative dividends if dividends were not paid in a prior year. O D. Preference as to dividends. QUESTION 40 Hazel Company has just purchased equipment that requires annual payments of $40,000 to be paid at the end of each of the next 4 years. The appropriate discount rate is 15%. What is the purchase price of the equipment today? O A. $114,199 O B. $136,000 O C. $160,000 O D. $199,735 QUESTION 41 Sundance Company has Bonds Payable of $2,000,000 and Premium on Bonds Payable of $100,000. Assuming the bonds are due in 10 years, what amount should Sundance report as the carrying value of the bonds in long-term liabilities on its year-end balance sheet? O A. $2,100,000 O B. $1,900,000 O C. $100,000 O D. $2,000,000