Reference no: EM132593034

Question 1: In 2019, ABC Company. sold land for $130,000 cash, purchased equipment for $19,000 cash and issued bonds for $100,000 cash. The Net cash provided by investing activities is:

Select one:

a. $111,000.

b. $149,000.

c. $211,000.

d. $230,000.

Question 2: Bonds with a 7% stated interest rate were issued when the market rate of interest was 6%. This bond was issued at:

Select one:

a. a discount.

b. face value.

c. par value.

d. a premium.

Question 3: A company reported that its bonds with a par value of $50,000 and a carrying value of $57,000 are retired for $60,000 cash, resulting in a loss of $3,000. The amount to be reported under cash flows from financing activities is:

Select one:

a. Zero. This is an investing activity.

b. $(60,000).

c. $(57,000).

d. $(3,000).

Question 4:  The owners' equity statement for a partnership is called the

Select one:

a. partners' capital statement.

b. capital and drawing statement.

c. partners' proportional statement.

d. statement of shareholders' equity.

Question 5: On January 1, 2019, HEDAYA Corporation issued $1,000,000 of 6%, 5-year bonds at 98, with interest paid annually. Using the straight-line amortization method, what is the carrying value of the bonds one year later on January 1, 2020? (Round any intermediary calculations to two decimal places and your final answer to the nearest dollar.)

Select one:

a. $984,000

b. $980,000

c. $992,000

d. $1,016,408