7 DOC INT ACCT QUIZ 1

7 DOC INT ACCT QUIZ 1 - Points Received 0 of 4 Comments 3...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
1. Question: (TCO E) A primary source of stockholders' equity is Your Answer: income retained by the corporation. appropriated retained earnings. contributions by stockholders. both income retained by the corporation and contributions by stockholders. CORRECT Instructor Explanation: Chapter 15. Page 744 to the end of the chapter Points Received: 4 of 4 Comments: 2. Question: (TCO E) A "secret reserve" will be created if Your Answer: inadequate depreciation is charged to income. a capital expenditure is charged to expense. CORRECT ANSWER liabilities are understated. stockholders' equity is overstated. Instructor Explanation: Chapter 15. Page 748
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Background image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: Points Received: 0 of 4 Comments: 3. Question: (TCO E) Berry Corporation has 50,000 shares of $10 par common stock authorized. The following transactions took place during 2010, the first year of the corporation's existence: Sold 5,000 shares of common stock for $18 per share. Issued 5,000 shares of common stock in exchange for a patent valued at $100,000. At the end of the Berry's first year, the additional paid-in capital amounted to Your Answer: $40,000. $90,000. CORRECT $100,000. $190,000. Instructor Explanation: (5,000 X $8) + 50,000 = $90,000. Chapter 15. Points Received: 4 of 4 Comments:...
View Full Document

This note was uploaded on 10/14/2010 for the course ACCT 1234 taught by Professor Gor during the Spring '10 term at DeVry Bellevue.

Page1 / 2

7 DOC INT ACCT QUIZ 1 - Points Received 0 of 4 Comments 3...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online