Sylva Corporation's retained earnings were $600,000 at 12/31/2019. The company had previously issued 40,000 shares of $10 par value common stock at $20 per share. The following transactions took place during 2020: - February 2020: reacquired 10,000 shares of its common stock at $30 per share. - July 2020: Reissued 2,000 of these shares for $35 per share. -Net income for 2020 was $120,000. - Dividends declared on December 15, 2020 were $0.30 per share. Which of the following is the proper journal entry for the transaction of July 2020? 70,000 60,000 10,000 70,000 70,000 a. Cash Treasury Stock Gain on Sale of Teasury Stock b. Cash Treasury Stock c. Cash Treasury Stock Additional Paid-in Capital d. Cash Additional Paid-in Capital 70,000 60,000 10,000 70,000 70,000 What impact will the February 2020 transaction have on assets, liabilities, and stockholders' equity? decrease assets, increase liabilities, decrease equity b. decrease assets, no effect on liabilities, decrease equity c. decrease assets, decrease liabilities, no effect on equity d. no effect on assets, no effect on liabilities, no effect on equity On December 15, 20x9, Knight Corporation reacquires and retires all of its outstanding bonds by paying $85,000 in cash. This early retirement of the bonds results in $5,000 gain. The face value of the bonds is $100,000. Determine the amount of the discount that has not been amortized yet as of December 15, 20x9. a. $0 b. $10,000 c. $15,000 d. Indeterminable. On July 15, 2009, Krystal Corporation reacquires and retires all of its outstanding bonds that were issued 3 years ago. This transaction results in a gain. Which of the following statement is true regarding the early retirement of the bonds? a. The amortized cost of the bonds must be lower than the market value. b. The market interest rate on July 15, 20x9 must be lower than the market interest rate on the date the bonds were issued 3 years ago. c. The coupon must be higher than the market interest rate on July 15, 20x6. d. None of the above is true