How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Amol Srivastava Your Own Question
Amol Srivastava
Amol Srivastava, Accountant
Category: Finance
Satisfied Customers: 626
Experience:  More than 4years + of industry experience ,CFA level2 cleared, Chartered Accountant from India
Type Your Finance Question Here...
Amol Srivastava is online now
A new question is answered every 9 seconds

Question 1 2 points Save Current liabilities are

Resolved Question:

Question 1 2 points    Save    
Current liabilities are expected to be paid within one year or the operating cycle, whichever is longer.

   Question 2 2 points    Save    
During the month, a company sells goods for a total of $108,000, which includes sales taxes of $8,000; therefore, the company should recognize $100,000 in Sales Revenues and $8,000 in Sales Tax Expense.

   Question 3 2 points    Save    
Current maturities of long-term debt are often identified as long-term debt due within one year on the balance sheet.

   Question 4 2 points    Save    
Bond interest paid by a corporation is an expense, whereas dividends paid are not an expense of the corporation.

   Question 5 2 points    Save    
A debenture bond is an unsecured bond which is issued against the general credit of the borrower.

   Question 6 2 points    Save    
If $150,000 face value bonds are issued at 102, the proceeds received will be $102,000.

   Question 7 2 points    Save    
Discount on bonds is an additional cost of borrowing and should be recorded as interest expense over the life of the bonds.

   Question 8 2 points    Save    
A corporation that issues bonds at a discount will recognize interest expense at a rate which is greater than the market interest rate.

   Question 9 2 points    Save    
If bonds are issued at a discount, the issuing corporation will pay a principal amount less than the face amount of the bonds on the maturity date.

   Question 10 2 points    Save    
If bonds are issued at a premium, the carrying value of the bonds will be greater than the face value of the bonds for all periods prior to the bond maturity date.

   Question 11 2 points    Save    
If the market interest rate is greater than the contractual interest rate, bonds will sell at a discount.

   Question 12 2 points    Save    
If $800,000, 8% bonds are issued on January 1, and pay interest semiannually, the amount of interest paid on July 1 will be $32,000.

   Question 13 2 points    Save    
The carrying value of bonds is calculated by adding the balance of the Discount on Bonds Payable account to the balance in the Bonds Payable account.

   Question 14 2 points    Save    
The loss on bond redemption is the difference between the cash paid and the carrying value of the bonds.

   Question 15 2 points    Save    
Bonds that mature at a single specified future date are called term bonds.

   Question 16 2 points    Save    
The terms of the bond issue are set forth in a formal legal document called a bond indenture.

   Question 17 2 points    Save    
Premium on Bonds Payable is a contra account to Bonds Payable.

   Question 18 2 points    Save    
All of the following are reported as current liabilities except
    accounts payable.
   bonds payable.
   notes payable.
   unearned revenues.

   Question 19 2 points    Save    
Liabilities are classified on the balance sheet as current or

   Question 20 2 points    Save    
A corporation is not an entity which is separate and distinct from its owners.

   Question 21 2 points    Save    
A corporation must be incorporated in each state in which it does business.

   Question 22 2 points    Save    
A stockholder has the right to vote in the election of the board of directors.

   Question 23 2 points    Save    
A proxy is a legal document that instructs a stockholder's agent how to vote shares of stock for the stockholder.

   Question 24 2 points    Save    
Treasury stock should not be classified as a current asset.

   Question 25 2 points    Save    
Treasury stock purchased for $25 per share that is reissued at $20 per share, results in a Loss on Sale of Treasury Stock being recognized on the income statement.

   Question 26 2 points    Save    
A 3 for 1 common stock split will increase total stockholders' equity but reduce the par or stated value per share of common stock.

   Question 27 2 points    Save    
Retained earnings represents the amount of cash available for dividends.

   Question 28 2 points    Save    
Common Stock Dividends Distributable is shown within the Paid-in Capital subdivision of the stockholders' equity section of the balance sheet.

   Question 29 2 points    Save    
A dividend based on paid-in capital is termed a liquidating dividend.

   Question 30 2 points    Save    
The chief accounting officer in a company is known as the

   Question 31 2 points    Save    
From the standpoint of the issuing company, a disadvantage of using bonds as a means of long-term financing is that
    bond interest is deductible for tax purposes.
   interest must be paid on a periodic basis regardless of earnings.
   income to stockholders may increase as a result of trading on the equity.
   the bondholders do not have voting rights.

   Question 32 2 points    Save    
Investors who receive checks in their names for interest earned on bonds must hold
    registered bonds.
   coupon bonds.
   bearer bonds.
   direct bonds.

   Question 33 2 points    Save    
A bondholder that sends in a coupon to receive interest payments must have a(n)
    unsecured bond.
   bearer bond.
   mortgage bond.
   serial bond.

   Question 34 2 points    Save    
A $1,000 face value bond with a quoted price of 98 is selling for

   Question 35 2 points    Save    
A bond with a face value of $100,000 and a quoted price of 102 1/4 has a selling price of

   Question 36 2 points    Save    
Mendez Corporation issues 2,000, 10-year, 8%, $1,000 bonds dated January 1, 2008, at 103. The journal entry to record the issuance will show a
    debit to Cash of $2,000,000.
   credit to Premium on Bonds Payable for $60,000.
   credit to Bonds Payable for $2,030,000.
   credit to Cash for $2,060,000.

   Question 37 2 points    Save    
On the date of issue, Chudzick Corporation sells $2 million of 5-year bonds at 97. The entry to record the sale will include the following debits and credits:


   Question 38 2 points    Save    
Becker Company is a publicly held corporation whose $1 par value stock is actively traded at $20 per share. The company issued 2,000 shares of stock to acquire land recently advertised at $50,000. When recording this transaction, Becker Company will
    debit Land for $50,000.
   credit Common Stock for $40,000.
   debit Land for $40,000.
   credit Paid-In Capital in Excess of Par Value for $48,000.

   Question 39 2 points    Save    
New Corp. issues 1,000 shares of $10 par value common stock at $14 per share. When the transaction is recorded, credits are made to
    Common Stock $10,000 and Paid-in Capital in Excess of Stated Value $4,000.
   Common Stock $14,000.
   Common Stock $10,000 and Paid-in Capital in Excess of Par Value $4,000.
   Common Stock $10,000 and Retained Earnings $4,000.

   Question 40 2 points    Save    
Kim, Inc. issued 5,000 shares of stock at a stated value of $10/share. The total issue of stock sold for $15/share. The journal entry to record this transaction would include a
    debit to Cash for $50,000.
   credit to Common Stock for $50,000.
   credit to Paid-in Capital in Excess of Par Value for $25,000.
   credit to Common Stock for $75,000.

   Question 41 2 points    Save    
Rancho Corporation sold 100 shares of treasury stock for $40 per share. The cost for the shares was $30. The entry to record the sale will include a
    credit to Gain on Sale of Treasury Stock for $3,000.
   credit to Paid-in Capital from Treasury Stock for $1,000.
   debit to Paid-in Capital in Excess of Par Value for $1,000.
   credit to Treasury Stock for $4,000.

   Question 42 2 points    Save    
Each of the following is correct regarding treasury stock except that it has been
   fully paid for.

   Question 43 2 points    Save    
Dividends in arrears on cumulative preferred stock
    never have to be paid.
   must be paid before common stockholders can receive a dividend.
   should be recorded as a current liability until they are paid.
   enable the preferred stockholders to share equally in corporate earnings with the common stockholders.

   Question 44 2 points    Save    
The cumulative effect of the declaration and payment of a cash dividend on a company's financial statements is to
    decrease total liabilities and stockholders' equity.
   increase total expenses and total liabilities.
   increase total assets and stockholders' equity.
   decrease total assets and stockholders' equity.

   Question 45 2 points    Save    
If a corporation declares a 10% stock dividend on its common stock, the account to be debited on the date of declaration is
    Common Stock Dividends Distributable.
   Common Stock.
   Paid-in Capital in Excess of Par.
   Retained Earnings.

   Question 46 2 points    Save    
Which of the following is not a significant date with respect to dividends?
    The declaration date
   The incorporation date
   The record date
   The payment date

   Question 47 2 points    Save    
On the dividend record date,
    a dividend becomes a current obligation.
   no entry is required.
   an entry may be required if it is a stock dividend.
   Dividends Payable is debited.

   Question 48 2 points    Save    
The declaration and distribution of a stock dividend will
    increase total stockholders' equity.
   increase total assets.
   decrease total assets.
   have no effect on total assets.

   Question 49 2 points    Save    
On January 1, Sandford Corporation had 80,000 shares of $10 par value common stock outstanding. On June 17, the company declared a 10% stock dividend to stockholders of record on June 20. Market value of the stock was $15 on June 17. The entry to record the transaction of June 17 would include a
    debit to Retained Earnings for $120,000.
   credit to Cash for $120,000.
   credit to Common Stock Dividends Distributable for $120,000.
   credit to Common Stock Dividends Distributable for $40,000.

   Question 50 2 points    Save    
A prior period adjustment that corrects income of a prior period requires that an entry be made to
    an income statement account.
   a current year revenue or expense account.
   the retained earnings account.
   an asset account.
Submitted: 7 years ago.
Category: Finance
Expert:  Manal Elkhoshkhany replied 7 years ago.



Please advise your deadline for these questions



Customer: replied 7 years ago.
This friday
Expert:  Amol Srivastava replied 7 years ago.

To get answers click here

If you need more details let me know

PS: In case you like my work and in future want to direct your questions to me please mention Amol in front of your posts.

Amol Srivastava, Accountant
Category: Finance
Satisfied Customers: 626
Experience: More than 4years + of industry experience ,CFA level2 cleared, Chartered Accountant from India
Amol Srivastava and other Finance Specialists are ready to help you

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

  • I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response... T.G.W Matteson, IL
< Previous | Next >
  • I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response... T.G.W Matteson, IL
  • I WON!!! I just wanted you to know that your original answer gave me the courage and confidence to go into yesterday's audit ready to fight. Bonnie Chesnee, SC
  • Great service. Answered my complex tax question in detail and provided a lot of additional useful information for my specific situation. John Minneapolis, MN
  • Excellent information, very quick reply. The experts really take the time to address your questions, it is well worth the fee, for the peace of mind they can provide you with. Orville Hesperia, California
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
  • This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex Los Angeles, CA
  • Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult. GP Hesperia, CA

Meet The Experts:

  • Rakhi Vasavada

    Rakhi Vasavada

    Financial and Legal Consultant

    Satisfied Customers:

    Graduated in law with Emphasis on Finance and have have been working in financial sector for over 12 Years
< Last | Next >
  • Rakhi Vasavada's Avatar

    Rakhi Vasavada

    Financial and Legal Consultant

    Satisfied Customers:

    Graduated in law with Emphasis on Finance and have have been working in financial sector for over 12 Years
  • Megan C's Avatar

    Megan C

    Certified Public Accountant (CPA)

    Satisfied Customers:

    Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level
  • Manal Elkhoshkhany's Avatar

    Manal Elkhoshkhany


    Satisfied Customers:

    More than 5000 online tutoring sessions.
  • JKCPA's Avatar



    Satisfied Customers:

    Bachelors degree and CPA with Accounting experience.
  • Eric's Avatar


    Financial Manager

    Satisfied Customers:

    Loan servicing, counseling and real estate expert. Foreclosure Expert and Financial Planner.
  • R. Klein, EA's Avatar

    R. Klein, EA


    Satisfied Customers:

    TurboTax Expert. QuickBooks Certified Pro Advisor
  • Dimitry K., Esq.'s Avatar

    Dimitry K., Esq.


    Satisfied Customers:

    NASD Licensed Rep, 1997-2001, Business Attorney

Related Finance Questions