Questions from Financial Accounting

Q: Indicate how each of these accounts should be classified in the stockholders’

Indicate how each of these accounts should be classified in the stockholders’ equity section of the balance sheet. (a) Common Stock. (b) Paid-in Capital in Excess of Par Value. (c) Retained Earnings....

Q: Identify five items that are adjustments to convert net income to net

Identify five items that are adjustments to convert net income to net cash provided by operating activities under the indirect method.

Q: Assume that Acorn Inc. sold bonds with a face value of

Assume that Acorn Inc. sold bonds with a face value of $100,000 for $104,000. Was the market interest rate equal to, less than, or greater than the bonds’ contractual interest rate? Explain.

Q: Presented here are liability items for O’Brian Inc. at December 31

Presented here are liability items for O’Brian Inc. at December 31, 2017. Prepare the liabilities section of O’Brian’s balance sheet.

Q: Refer to the financial statements of Apple Inc. in Appendix A

Refer to the financial statements of Apple Inc. in Appendix A. Instructions (a) Calculate the accounts receivable turnover and average collection period for 2014. (Assume all sales were credit sales.)...

Q: Here is information related to Morgane Company for 2017. Total

Here is information related to Morgane Company for 2017. Total credit sales $1,500,000 Accounts receivable at December 31 840,000 Bad debts written off 37,000 Instructions (a)...

Q: Hollie Company has stockholders’ equity of $400,000 and net

Hollie Company has stockholders’ equity of $400,000 and net income of $72,000. It has a payout ratio of 18% and a return on assets of 20%. How much did Hollie pay in cash dividends, and what were its...

Q: The December 10, 2011, edition of The Economist contains an

The December 10, 2011, edition of The Economist contains an article entitled “Helping the Poor to Save: Small Wonder.” This article discusses how many of the world’s poorest people benefit from borrow...

Q: Baja Airlines is considering these two alternatives for financing the purchase of

Baja Airlines is considering these two alternatives for financing the purchase of a fleet of airplanes: 1. Issue 50,000 shares of common stock at $40 per share. (Cash dividends have not been paid nor...

Q: The following information is available for Balboa Corp. for 2017.

The following information is available for Balboa Corp. for 2017. Cash used to purchase treasury stock $ 48,100 Cash dividends paid 21,800 Cash paid for interest 22,400 Net income...