Cognitive Psychology Journal

Question 11pts Two of the three primary account classifications within shareholders' equity are: Preferred stock and retained earnings. The par value of common stock and retained earnings. Paid-in capital and retained earnings. Preferred and common stock.  Question 21pts Outstanding common stock is: Stock that is performing well on the New York Stock Exchange. Stock that has been authorized by the state for issue. Stock held in the corporate treasury. Stock in the hands of shareholders.  Question 31pts Roberto Corporation was organized on January 1, 2011. The firm was authorized to issue 100,000 shares of $5 par common stock. During 2011, Roberto had the following transactions relating to shareholders' equity: Issued 10,000 shares of common stock at $7 per share. Issued 20,000 shares of common stock at $8 per share. Reported a net income of $100,000. Paid dividends of $50,000. Purchased 3,000 shares of treasury stock at $10 (part of the 20,000 shares issued at $8). What is total shareholders' equity at the end of 2011? $270,000. $300,000. $250,000. $200,000.  Question 41pts Accumulated other comprehensive income is reported: In the balance sheet as an asset. In the balance sheet as a liability. In the balance sheet as a component of shareholders' equity. In the statement of comprehensive income.  Question 51pts When more than one security is sold for a single price and the total selling price is not equal to the sum of the market prices, the cash received is allocated between the securities based on: Relative book values. Par values. Relative market values. The earnings per share.  Question 61pts Despot declared a property dividend to give marketable securities to its common stockholders. The securities had cost Despot $7 million and currently have a fair value of $16 million. Which of the following would be included in recording the property dividend declaration? Increase in a liability for $16 million. Decrease in retained earnings for $7 million. Decrease in marketable securities by $9 million. All of the above are not correct.  Question 71pts The shareholders' equity of Green Corporation includes $200,000 of $1 par common stock and $400,000 of 6% cumulative preferred stock. The board of directors of Green declared cash dividends of $60,000 in 2011 after paying $20,000 cash dividends in each of 2010 and 2009. What is the amount of dividends common shareholders will receive in 2011? $18,000. $26,000. $28,000. $32,000.  Question 81pts Rick Co. had 30 million shares of $1 par common stock outstanding at January 1, 2011. In October, 2011, Rick Co.'s Board of Directors declared and distributed a 1% common stock dividend when the market value of its common stock was $60 per share. In recording this transaction, Rick would: Debit retained earnings for $18 million. Credit paid-in capital - excess of par for $18 million. Credit common stock for $18 million. None of the above is correct.  Question 91pts Poodle Corporation was organized on January 3, 2011. The firm was authorized to issue 100,000 shares of $5 par common stock. During 2011, Poodle had the following transactions relating to shareholders' equity: Issued 30,000 shares of common stock at $7 per share. Issued 20,000 shares of common stock at $8 per share. Reported a net income of $100,000. Paid dividends of $50,000. What is total Paid-in capital at the end of 2011? $420,000. $370,000. $470,000. $320,000.  Question 101pts Coy, Inc. initially issued 200,000 shares of $1 par value stock for $1,000,000 in 2009. In 2010, the company reacquired and retired 20,000 shares for $80,000. In 2011, Coy, Inc. sold 10,000 shares for $160,000. In its balance sheet dated December 31, 2011, Coy, Inc.'s total paid-in capital is, $1,060,000. $1,080,000. $1,160,000. None of the above is correct.