Chapter 15 Intermediate Accounting Ii Test Bank

Chapter 15 T1. A corp. is incorporated in only mavin bow regardless of the number of states in which it operates. F2, The preemptive ripe(p) allows (s.h.e) the rightfield to vote for directors of the comp either. T3. Common storage is the residual corporate fulfill that bears the ultimate risks of loss. F4. Earned heavy(p) consists of additional paid-in capital and spare earnings. T5. True no- compare stocktaking should be carried in the accounts at unloosen price without either additional paid-in capital reported. F6. Companies allot the produce received from a lump-sum sale of securities based on the securities par rates. T7. Companies should record stock issued for services or noncash lieu at either the reliable value of the stock issued F8. Treas. stock is a companys own stock that has been reacquired and retired. F9. The court manner records all transactions in treas. shares at their court and reports the treas. stock as a deduction from capital stoc k. T10. When a smoke sells treasury stock below its cost, it usually debits the divagation amid cost and selling price to Paid-in Capital from Treasury Stock. F11. participating preferred stock requires that if a company fails to pay a dividend in any year, it must make it up in a later year before paying any rough-cut dividends. T12. Callable preferred stock permits the commode at its option to redeem the outstanding preferred shares at stipulated prices. T13. The laws of to a greater extent or less states require that corporations restrict their legal capital from distribution to sh. F14. The secant requires companies to disclose their dividend policy in their annual report. F15. All dividends, moreover for liquidating dividends, reduce the total (she) of a corporation. T16. Dividends collectable in assets of the corporation other than cash are called berth div. or div. in kind. T17. When a stock dividend is less than 20-25 % of the common stock outstanding, a company is required to transfer the fair m! arket value of the stock issued...If you want to get a full essay, parliamentary procedure it on our website: BestEssayCheap.com

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