Questions from Financial Accounting

Q: Indicate whether each of the following transactions increases (+), decreases (−), or

Indicate whether each of the following transactions increases (+), decreases (−), or has no effect (NE) on total assets, total liabilities, and total stockholders’...

Q: Summit Apparel has the following accounts at December 31: Common Stock

Summit Apparel has the following accounts at December 31: Common Stock, $1 par value, 2,000,000 shares issued; Additional Paid-in Capital, $18 million; Retained Earnings, $11 million; and Treasury Sto...

Q: The financial statements of Colorado Outfitters include the following selected data ($

The financial statements of Colorado Outfitters include the following selected data ($ in millions): sales, $9,543; net income, $320; beginning stockholders’ equity, $3,219; and ending stockholders’ e...

Q: Renaldo heard that an S corporation combines the benefits of a corporation

Renaldo heard that an S corporation combines the benefits of a corporation with the benefits of a partnership. Explain to Renaldo the specific benefits of an S corporation and any drawbacks to organiz...

Q: Western Wear Clothing issues 3,000 shares of its $0

Western Wear Clothing issues 3,000 shares of its $0.01 par value common stock to provide funds for further expansion. Assuming the issue price is $11 per share, record the issuance of common stock.

Q: Gothic Architecture is a new chain of clothing stores specializing in the

Gothic Architecture is a new chain of clothing stores specializing in the color black. Gothic issues 1,000 shares of its $1 par value common stock at $30 per share. Record the issuance of the stock. H...

Q: Equinox Outdoor Wear issues 1,000 shares of its $0

Equinox Outdoor Wear issues 1,000 shares of its $0.01 par value preferred stock for cash at $32 per share. Record the issuance of the preferred shares.

Q: Consider the following independent situations: 1. John Smith is

Consider the following independent situations: 1. John Smith is the petty-cash custodian. John approves all requests for payment out of the $200 fund, which is replenished at the end of each month. At...

Q: Match each of the following preferred stock features with its description.

Match each of the following preferred stock features with its description.

Q: Rachel’s Designs has 2,000 shares of 7%, $50

Rachel’s Designs has 2,000 shares of 7%, $50 par value cumulative preferred stock issued at the beginning of 2019. All remaining shares are common stock. Due to cash flow difficulties, the company was...