Question 1

The date a board of directors votes to pay a dividend is called the:

Accepted Answer

A)  Date of the annual shareholders meeting. 
B)  Date of declaration. 
C)  Date of record. 
D)  Date of payment. 
E)  Liquidating datE. 
A)  Date of the annual shareholders meeting. 
B)  Date of declaration. 
C)  Date of record. 
D)  Date of payment. 
E)  Liquidating datE.

Question 2

Dividends represent the distribution of profits to the managers of a corporation.

Accepted Answer

A) True 
 B)False

Question 3

When issuing shares,the initial investment is credited to Retained Earnings.

Accepted Answer

A) True 
 B)False

Question 4

The following information and transactions took place during 2015:   Prepare journal entries for the above transactions.

Accepted Answer

The answer of The following information and transactions took place...

Question 5

The par value of a share is:

Accepted Answer

A)  Another name for the call price of a share. 
B)  A type of callable share. 
C)  The market value of the shares on the date of issuance. 
D)  An unpaid dividend. 
E)  An arbitrary value a corporation places on each of the corporation's shares. 
A)  Another name for the call price of a share. 
B)  A type of callable share. 
C)  The market value of the shares on the date of issuance. 
D)  An unpaid dividend. 
E)  An arbitrary value a corporation places on each of the corporation's shares.

Question 6

The accounting equation for a corporation is:

Accepted Answer

A)  Assets = Equity + Liabilities. 
B)  Assets - Liabilities = Equity. 
C)  Assets = Liabilities + Equity. 
D)  All of these answers are correct. 
E)  None of these answers is correct. 
A)  Assets = Equity + Liabilities. 
B)  Assets - Liabilities = Equity. 
C)  Assets = Liabilities + Equity. 
D)  All of these answers are correct. 
E)  None of these answers is correct.

Question 7

All of the following are given as possible motivations for a corporation to issue preferred shares except:

Accepted Answer

A)  Raise capital without sacrificing voting control. 
B)  Increase the return of common shareholders. 
C)  Appeal to investors who do not want to invest in common shares. 
D)  If the preferred shares are convertible,they are more attractive to potential investors. 
E)  Preferred dividends are paid before common dividends. 
A)  Raise capital without sacrificing voting control. 
B)  Increase the return of common shareholders. 
C)  Appeal to investors who do not want to invest in common shares. 
D)  If the preferred shares are convertible,they are more attractive to potential investors. 
E)  Preferred dividends are paid before common dividends.

Question 8

Reporting procedures are the same for private and public corporations.

Accepted Answer

A) True 
 B)False

Question 9

Bruce Corporation issued 8,000 common shares in exchange for land that has a fair market value of $184,000.The entry to record this transaction would include:

Accepted Answer

A)  A debit to Common Shares for $8,000. 
B)  A debit to Land for $8,000. 
C)  A credit to Land for $184,000. 
D)  A credit to Common Shares for $184,000. 
E)  A debit to Common Shares for $184,000. 
A)  A debit to Common Shares for $8,000. 
B)  A debit to Land for $8,000. 
C)  A credit to Land for $184,000. 
D)  A credit to Common Shares for $184,000. 
E)  A debit to Common Shares for $184,000.

The date a board of directors votes to pay a dividend is called the:

Dividends represent the distribution of profits to the managers of a corporation.

When issuing shares,the initial investment is credited to Retained Earnings.

The following information and transactions took place during 2015: Prepare journal entries for the above transactions.

The par value of a share is:

The accounting equation for a corporation is:

All of the following are given as possible motivations for a corporation to issue preferred shares except:

Reporting procedures are the same for private and public corporations.

Bruce Corporation issued 8,000 common shares in exchange for land that has a fair market value of $184,000.The entry to record this transaction would include:

Property,plant and Equipment,and Intangibles

Current Liabilities

Partnerships

Corporate Reporting: Income,earnings Per Share,and Retained Earnings

Bonds and Long-Term Notes Payable

Accounting for Debt and Share Investments

Reporting and Analyzing Cash Flows

Analyzing Financial Statements

Filters

Exam 13: Organization and Operation of Corporations

The date a board of directors votes to pay a dividend is called the:

Dividends represent the distribution of profits to the managers of a corporation.

When issuing shares,the initial investment is credited to Retained Earnings.

The following information and transactions took place during 2015: Prepare journal entries for the above transactions.

The par value of a share is:

The accounting equation for a corporation is:

All of the following are given as possible motivations for a corporation to issue preferred shares except:

Reporting procedures are the same for private and public corporations.

Bruce Corporation issued 8,000 common shares in exchange for land that has a fair market value of $184,000.The entry to record this transaction would include:

Property,plant and Equipment,and Intangibles

Current Liabilities

Partnerships

Corporate Reporting: Income,earnings Per Share,and Retained Earnings

Bonds and Long-Term Notes Payable

Accounting for Debt and Share Investments

Reporting and Analyzing Cash Flows

Analyzing Financial Statements

Filters