Reference no: EM132986753

Problem 1: Which statement is false for both a property dividend and a stock dividend?

Select one:
a. Retained Earnings decreases
b. Par value per share decreases
c. Contributed capital increases
d. Total stockholders' equity does not change
e. Total stockholders' equity decreases

Problem 2: On July 1, 2023, a firm issued $200,000 of 9% bonds. The bonds were dated May 1, 2023. The maturity date is 5/1/28. Interest is paid semi-annually on May 1 and November 1. Straight-line amortization is used. A total of $210,500 in cash was received, which included accrued interest. What appears as Interest Payable on the 12/31/23 balance sheet?

Select one:
a. $9,000
b. $6,000
c. $12,000
d. $3,000
e. $15,000