ACCT 212 Exam questions with answers |\ |\ |\ |\ |\
Which of the following would not be considered an advantage of
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
the corporate form of organization? - CORRECT ANSWERS
|\ |\ |\ |\ |\ |\ |\ |\
✔✔government regulation |\
Which of the following is not a right possessed by common
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
stockholders of a corporation? - CORRECT ANSWERS ✔✔the right |\ |\ |\ |\ |\ |\ |\ |\ |\
to receive a minimum amount of dividends
|\ |\ |\ |\ |\ |\
The charter of a corporation provides for the issuance of 103,000
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
shares of common stock. Assume that 60,000 shares were
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
originally issued and 6,200 were subsequently reacquired. What
|\ |\ |\ |\ |\ |\ |\ |\
is the number of shares outstanding? - CORRECT ANSWERS
|\ |\ |\ |\ |\ |\ |\ |\ |\
✔✔53,800
Nebraska Inc. issues 2,250 shares of common stock for $72,000.
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
The stock has a stated value of $15 per share. The journal entry
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
for the stock issuance would include a credit to Common Stock
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
for - CORRECT ANSWERS ✔✔$33,750
|\ |\ |\ |\
The journal entry for the issuance of common stock at a price
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
above par includes a debit to - CORRECT ANSWERS ✔✔cash
|\ |\ |\ |\ |\ |\ |\ |\ |\
Kansas Company acquired a building valued at $168,000 for
|\ |\ |\ |\ |\ |\ |\ |\ |\
property tax purposes in exchange for 12,000 shares of its $4 par
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
common stock. The stock is widely traded and selling for $18 per
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
, share. At what amount should the building be recorded by
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
Kansas Company? - CORRECT ANSWERS ✔✔$216,000
|\ |\ |\ |\ |\
If Dakota Company issues 1,500 shares of $6 par common stock
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
for $75,000, - CORRECT ANSWERS ✔✔Paid-In Capital in Excess of
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
Par will be credited for $66,000
|\ |\ |\ |\ |\
Sneed Corporation issues 11,200 shares of $50 par preferred
|\ |\ |\ |\ |\ |\ |\ |\ |\
stock for cash at $63 per share. The journal entry for the
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
transaction will consist of a debit to Cash for $705,600 and a |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
credit or credits to - CORRECT ANSWERS ✔✔Preferred Stock for
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
$560,000 and Paid-In Capital in Excess of Par—Preferred Stock for
|\ |\ |\ |\ |\ |\ |\ |\ |\
$145,600.
|\
Alma Corp. issues 1,200 shares of $5 par common stock at $16
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
per share. When the transaction is journalized, credits are made
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
to - CORRECT ANSWERS ✔✔Common Stock, $6,000 and Paid-In
|\ |\ |\ |\ |\ |\ |\ |\ |\
Capital in Excess of Par—Common Stock, $13,200.
|\ |\ |\ |\ |\ |\
Nevada Corporation has 58,000 shares of $28 par stock
|\ |\ |\ |\ |\ |\ |\ |\ |\
outstanding that has a current market value of $120. If the |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
corporation issues a 5-for-1 stock split, the number of shares |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
outstanding will be - CORRECT ANSWERS ✔✔290,000 |\ |\ |\ |\ |\ |\
When the market rate of interest on bonds is higher than the
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
contract rate, the bonds will sell at - CORRECT ANSWERS ✔✔a
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
discount
Which of the following would not be considered an advantage of
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
the corporate form of organization? - CORRECT ANSWERS
|\ |\ |\ |\ |\ |\ |\ |\
✔✔government regulation |\
Which of the following is not a right possessed by common
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
stockholders of a corporation? - CORRECT ANSWERS ✔✔the right |\ |\ |\ |\ |\ |\ |\ |\ |\
to receive a minimum amount of dividends
|\ |\ |\ |\ |\ |\
The charter of a corporation provides for the issuance of 103,000
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
shares of common stock. Assume that 60,000 shares were
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
originally issued and 6,200 were subsequently reacquired. What
|\ |\ |\ |\ |\ |\ |\ |\
is the number of shares outstanding? - CORRECT ANSWERS
|\ |\ |\ |\ |\ |\ |\ |\ |\
✔✔53,800
Nebraska Inc. issues 2,250 shares of common stock for $72,000.
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
The stock has a stated value of $15 per share. The journal entry
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
for the stock issuance would include a credit to Common Stock
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
for - CORRECT ANSWERS ✔✔$33,750
|\ |\ |\ |\
The journal entry for the issuance of common stock at a price
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
above par includes a debit to - CORRECT ANSWERS ✔✔cash
|\ |\ |\ |\ |\ |\ |\ |\ |\
Kansas Company acquired a building valued at $168,000 for
|\ |\ |\ |\ |\ |\ |\ |\ |\
property tax purposes in exchange for 12,000 shares of its $4 par
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
common stock. The stock is widely traded and selling for $18 per
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
, share. At what amount should the building be recorded by
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
Kansas Company? - CORRECT ANSWERS ✔✔$216,000
|\ |\ |\ |\ |\
If Dakota Company issues 1,500 shares of $6 par common stock
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
for $75,000, - CORRECT ANSWERS ✔✔Paid-In Capital in Excess of
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
Par will be credited for $66,000
|\ |\ |\ |\ |\
Sneed Corporation issues 11,200 shares of $50 par preferred
|\ |\ |\ |\ |\ |\ |\ |\ |\
stock for cash at $63 per share. The journal entry for the
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
transaction will consist of a debit to Cash for $705,600 and a |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
credit or credits to - CORRECT ANSWERS ✔✔Preferred Stock for
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
$560,000 and Paid-In Capital in Excess of Par—Preferred Stock for
|\ |\ |\ |\ |\ |\ |\ |\ |\
$145,600.
|\
Alma Corp. issues 1,200 shares of $5 par common stock at $16
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
per share. When the transaction is journalized, credits are made
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
to - CORRECT ANSWERS ✔✔Common Stock, $6,000 and Paid-In
|\ |\ |\ |\ |\ |\ |\ |\ |\
Capital in Excess of Par—Common Stock, $13,200.
|\ |\ |\ |\ |\ |\
Nevada Corporation has 58,000 shares of $28 par stock
|\ |\ |\ |\ |\ |\ |\ |\ |\
outstanding that has a current market value of $120. If the |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
corporation issues a 5-for-1 stock split, the number of shares |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
outstanding will be - CORRECT ANSWERS ✔✔290,000 |\ |\ |\ |\ |\ |\
When the market rate of interest on bonds is higher than the
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
contract rate, the bonds will sell at - CORRECT ANSWERS ✔✔a
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
discount
