Wh would betterbuy qord the warranty expense w y

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wh;; would BetterBuy ,Q{ord the Warranty Expense? W y would record an estimated amount of warranty oxpense during 2aru. B) It would record the actual warranty expense u* th* repairs occuried. c) It does not need to rnake ajournar entry forthe repaiis. 26' If a bond issued at a premium the carrying value (book value) of the bonds will increase lrtne TH: aPProach maturitY' ffi fD\ False \_-/
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27 A cash register tape shows cash sales of $1,000 and to record this information is -$or. casn looo ,$ or'. Castt l ooo ./ Dr. Sales tax Expense 80 /-\. Cr: Sales l0B0 (c1)or: castr l oso \_/ Cr: Sales 1000 Cr: Sales Tax payable 80 F) Dr'. Casn 1080 '/ Cr: Sales i000 Cr: Sales Tax Revenue B0 The journal entry issued and 800,000 shares of the company declared a lOYo ZB. If a corporation issued bonds at an arnountless than face value, it indicates that the -) f? Al Common Stock account lni /* c"*mon Stock account de ffi netaineci Earnings account , Y Retained Earninls increase *]::Et No change in Retained Ean v' Bd As a result of the stock dividend / \ have the following shares: in the prior question, Yellow Mustard would now ,xf B) q. @ @rm Shares outstanding -€0eoso 980,000 980,000 -sssp€s 880.000 corporation has a weak credit rating. Ai True rtfltJh\ ffir.utr" Q\p o On January 1, Yellow Mustard Corporation had 900,000 iMarket value of the stock was $15/share. As a result of this event, Stock account increased $1,200,000. Common decreased $i,200,000 Retained Earnings account decreased $1,200,000. Retained Earnings increased $ 1,200,000. No in Retained Earnings Shares issued 900,000 qqo ooo 900,000 990,000 980,000 L \./ Only stockholders of issued comrnoo stock may vote on the Board of Directors and ."*"ir" dividends ?* rn tdo{ e aal'i Gul I : "'- J",\t'Ew,* ol
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JZ aa JJ- 34. JI The term legal capital is a descriptive term for & stockholders' equity. (6h Pu. or stated value. -t( residuat equity. D) market value. The amount of, stock that may be issued according to the corporation's charter is referred Jo.qs the -=**- (A) ) authorized stock. tsf issued stock. (})/unissued stock. ffi outrtanding stock. NuX Corp. issues 10,000 shares of $1 par value common stock at $15 per share. When ;he.transaction is recorded, credits are made to: lAl )Co.rr*on Stock $10,000 and Additional Paid-in Capital in Excess of Par Value -$,4o,ooo. B) Common Stock $150,000. C) Comrnon Stock $10,000 and Additional Paid-in Capital in Excess of Par Value $150.000. F Co*mon Stock $10,000 and Retained Earnings $140,000. Treasurv stock is 76 stock issued by the U.S. Treasury Department. t *>B) stock purchased by a corporation and held as an irnrestment in its treasury. O corporate stock issued by the treasurer of a company. f.6l u corporation's own stock, which has been reacquired and held for future use. \-/ The primary purpose of,a small stock dividend is to change the market price of the StOCk. -S3''i1*""t6*esffi*ffiewq A) True (4 rutt* -. rno,,,rrl V*\en MilkyWay Inc. tras fl00 siiarss€'+8% $100 par value, cumulativepreferred stock and C-;ei!d6" Li&g at December 31,2011. What is the annual dividend on the preferred stock?
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