41) On January 1, 2015, Bonds Payable have a balance of $700,000. On December 31, 2015, Bonds Payable have a balance of $800,000. During 2015, one bond of $10,000 was retired. No discounts or premiums were amortized in 2015. What amount of new bonds were issued in 2015?
A) $0
B) $90,000
C) $100,000
D) $110,000
42) A company reports the following balances:
|
12/31/2015
|
12/31/2016
|
Common Stock
|
$150,000
|
$160,000
|
Paid-in Capital in Excess of Par
|
100,000
|
110,000
|
Retained Earnings
|
70,000
|
80,000
|
What is reported on the statement of cash flows prepared with the indirect method for the year ended December 31, 2016? Assume there were no retirements of common stock during 2016. No dividends were declared in 2016.
A) Financing Activity: Sale of Common Stock, $10,000
B) Financing Activity: Sale of Common Stock, $20,000
C) Operating Activity: Net Income $10,000
D) B and C
43) A company reports the following balances:
|
12/31/2015
|
12/31/2016
|
Common Stock
|
$150,000
|
$160,000
|
Paid-in Capital in Excess of Par
|
100,000
|
110,000
|
Retained Earnings
|
70,000
|
80,000
|
During 2016, dividends of $15,000 were declared and paid. What is net income for 2016?
A) $5,000
B) $10,000
C) $15,000
D) $25,000
44) A company reports the following balances:
|
12/31/2015
|
12/31/2016
|
Common Stock
|
$150,000
|
$160,000
|
Paid-in Capital in Excess of Par
|
100,000
|
110,000
|
Retained Earnings
|
70,000
|
80,000
|
Treasury Stock
|
10,000
|
15,000
|
During 2016, net income of $30,000 was reported. No treasury stock was sold during 2016. No common stock was retired during 2016. What financing activities are reported on the statement of cash flows prepared with the indirect method for the year ending December 31, 2016?
A) Sale of treasury stock $5,000 and Payment of dividends $20,000
B) Purchase of treasury stock $5,000, Payment of dividends $20,000 and Sale of common stock $20,000
C) Sale of treasury stock $5,000, Sale of common stock $10,000
D) Payment of dividends $10,000, Sale of common stock $20,000, and Purchase of treasury stock $5,000
45) Serfleck Company reports the following data for the year ending December 31, 2015:
|
December 31, 2015
|
December 31, 2014
|
Common Stock
|
$100,000
|
$50,000
|
Additional Paid-in Capital
|
50,000
|
40,000
|
Retained Earnings
|
200,000
|
220,000
|
Treasury Stock
|
10,000
|
0
|
Dividends Declared and Paid
|
5,000
|
5,000
|
There were no retirements of common stock in 2015. On the statement of cash flows(indirect method), what is the net cash provided by financing activities for the year ending December 31, 2015?
A) $45,000
B) $55,000
C) $60,000
D) $70,000
46) Anew Health Care Company reports net income of $200,000 and Depreciation Expense of $20,000 for the year ending December 31, 2015. No long-term assets were sold or exchanged during 2015. They also have the following data available:
|
December 31, 2015
|
December 31, 2014
|
Current Assets:
|
|
|
Cash
|
$30,000
|
$80,000
|
Accounts Receivable
|
160,000
|
100,000
|
Inventory
|
100,000
|
70,000
|
Total Current Assets
|
$290,000
|
$250,000
|
|
|
|
Current Liabilities:
|
|
|
Accounts Payable
|
$50,000
|
$40,000
|
Salaries Payable
|
40,000
|
90,000
|
Total Current Liabilities
|
$90,000
|
$130,000
|
Using the indirect method, what is the net cash provided (or used) from operating activities for the year ending December 31, 2015?
A) $70,000
B) $90,000
C) $120,000
D) $190,000
47) Cinderella Company reports net income of $100,000 and Depreciation Expense of $50,000 for the year ending December 31, 2015. There were no gains or losses from the sale of long-term assets.They also have the partial balance sheets shown below:
|
December 31, 2015
|
December 31, 2014
|
Current Assets:
|
|
|
Cash
|
$30,000
|
$80,000
|
Accounts Receivable
|
160,000
|
100,000
|
Inventory
|
100,000
|
70,000
|
Prepaid Rent
|
20,000
|
10,000
|
Total Current Assets
|
$310,000
|
$260,000
|
|
|
|
Current Liabilities:
|
|
|
Accounts Payable
|
$50,000
|
$40,000
|
Salaries Payable
|
40,000
|
90,000
|
Total Current Liabilities
|
$90,000
|
$130,000
|
Using the indirect method, prepare the operating activities section of the statement of cash flows for the year ending December 31, 2015