Samson Enterprises issued a ten-year, $20 million bond with a 10% interest rate for $19, 500,000. The entry to record the bond issuance would have what effect on the financial statements? Increase stockholders' equity. Increase liabilities. Increase assets. Both B and C The advantages of obtaining long-term funds by issuing bonds, rather than issuing additional common include which of the following? Funds are obtained without surrendering ownership control. Interest expense is tax-deductible. The company's risk of bankruptcy decreases. Both A and B. Discount Travel has the following current assets: cash, $102 million; receivables, $94 million; inventor $182 million; and other current assets, $18 million. Discount Travel also has the following liabilities: payable, $98 million; current portion of long-term debt, $35 million; and long-term debt, $23 million. these amounts, what is the current ratio? 4.04. 2.84. 2.54. 2.98. Which of the following is true for bonds issued at face value? The stated interest rate is greater than the market interest rate. The stated interest rate and the market interest rate are equal. The stated interest rate and the market interest rate are unrelated. The market interest rate is greater than the stated interest rate. On December 1, 2018, Old world Deli signed a $300,000, 5%, six-month note payable with borrowed plus accrued interest due six months later on June 1, 2019. Old World Deli records the adjusting entry for the note on December 31, 2018. What amount of cash will be needed to pay payable plus any accrued interest on June 1, 2019? $307, 500. $306, 250. $300,000. $301, 250. The disadvantages of the corporate form of business include: Limited liability. Ability to raise capital. Ability to transfer ownership. Additional taxes. When a company issues 25,000 shares of $1 par value common stock for $10 per share, this issuance would include: A credit to Common Stock for$25,000. A debit to Additional Paid-in Capital for $25,000. A debit to Cash for S25,000