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QUESTION

Window Company received proceeds of $565,500 on 10-year, 8% bonds issued one January1, 2013.

1. Window Company received proceeds of $565,500 on 10-year, 8% bonds issued one January1, 2013. The bonds had a face value of $400,000, pay interest annually on December 31st, and have a call price of 101. Window uses the straight-line method of amortization. What is the carrying value of the bonds on January 1, 2015?

2. A corporation purchases 15,000 shares of its own $20 par common stock for $35 per share, recording it at cost. What will be the effect on total stockholders' equity?

3. Assume that a Corporation uses the indirect method to depict cash flows. Indicate where, if at all, a stock dividend declared and issued would be classified on the statement of cash flows.(why?)

4. Zoum Corporation had the following transactions during 2014:

   1. Issued $125,000 of par value common stock for cash

   2. Recorded and paid wages expenses of $60,000

   3. Aquired land by issuing common stock of par value $50,000

   4. Declared and paid a cash dividend of $10,000

   5. Sold a long-term investment (cost $3,000) for cash of $3,000

   6. Recorded cash sales of $400,000

   7. Bought inventory for cash of $160,000

   8. Acquired an investment in Zynga stock for cash of $21,000

   9. Converted bonds payable to common stock in the amount of $500,000.

   10. Repaid a 6 year note payable in the amount of $220,000

What is the net cash provided by operating activities?

5. attached file.

   1. cash flows from operating activities?

   2. cash flows from investing activities?

   3. cash flows from financing activities?

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