Exam 8: Liabilities and Stockholders Equity

Which of the following accounts is reported in the noncurrent liabilities section of the corporate balance sheet?

Significant changes in stockholders' equity are reported in the:

A corporation has 10,000 shares of $100 par value stock outstanding. If the corporation issues a 5-for-1 stock split, the number of shares outstanding after the split will be 2,000.

Based on the following information, what is earnings per share? 115,000 Common shares outstanding \ 40,000 Preferred stock cividend declared and paid \ 350,000 Net income

If bonds are issued at a premium, the stated interest rate is:

If 50,000 shares are authorized, 37,000 shares are issued, and 2,000 shares are reacquired, the number of outstanding shares is 35,000.

Before a stock dividend can be declared or paid, there must be sufficient cash.

Current liabilities are:

If the market rate of interest is 9% and a corporation's bonds bear interest at 7%, the bonds will sell at a premium.

Indicate whether the following actions would (+) increase, (-) decrease, or (0) not affect a company's total assets, liabilities, and stockholders' equity. Stockloders'Equity Liabilities Assets (1) Declaring a cash dividend (2) Paying the cash dividend declared in (1) (3) Declaring a stock dividend (4) Issuing stock certificates for the stock dividend declared in (3)

If the market rate of interest is 7% and a corporation's bonds bear interest at 8%, the bonds will sell at a premium.