Questions from College Accounting

Q: Common Stock Dividend Distributable is a liability. Agree or disagree?

Common Stock Dividend Distributable is a liability. Agree or disagree? Defend your position.

Q: Treasury stock is really an asset. Defend or reject. Support

Treasury stock is really an asset. Defend or reject. Support your argument.

Q: All treasury stock is recognized as issued and outstanding for dividends.

All treasury stock is recognized as issued and outstanding for dividends. True or false? Please explain.

Q: Explain the selling price of a bond quoted at 99.

Explain the selling price of a bond quoted at 99.

Q: Why does the interest method of amortizing a discount or premium use

Why does the interest method of amortizing a discount or premium use the market rate in calculating interest expense to be recorded?

Q: What is the purpose of a bond sinking fund?

What is the purpose of a bond sinking fund?

Q: In a periodic system of inventory, the balance of beginning inventory

In a periodic system of inventory, the balance of beginning inventory will remain unchanged during the period. True or false?

Q: Alice wants to buy bonds, but her husband, Pete,

Alice wants to buy bonds, but her husband, Pete, thinks stocks would be a better deal. Pete was watching a finance show on TV that said stocks would be going up and that now is the time to buy stock....

Q: Thad decided to end the Smith Computer Center’s first year as of

Thad decided to end the Smith Computer Center’s first year as of September 30, 201X. Following is an updated chart of accounts. Assets …………………………….…………………………………………………. Revenue 1000 Cash …………………..…………...

Q: What is the difference between a secured bond and a debenture bond

What is the difference between a secured bond and a debenture bond?