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The total paid-in capital (cash collected) related to the common stock
is
13) On October 1, 2014 Macklin Corporation issued 5%, 10-year
bonds with a face value of $4,000,000 at 104. Interest is paid on
October 1 and April 1, with any premiums or discounts amortized on
a straight-line basis.
Bond interest expense reported on the December 31, 2014 income
statement of Macklin Corporation would be
14) Gannon Company acquired 10,000 shares of its own common
stock at $20 per share on February 5, 2014, and sold 5,000 of these
shares at $27 per share on August 9, 2015. The fair value of Gannon's
common stock was $24 per share at December 31, 2014, and $25 per
share at December 31, 2015. The cost method is used to record
treasury stock transactions. What account(s) should Gannon credit in
2015 to record the sale of 5,000 shares?
15) When computing diluted earnings per share, convertible bonds
are
16) Jeff Corporation purchased a limited-life intangible asset for
$225,000 on May 1, 2013. It has a useful life of 10 years. What total
amount of amortization expense should have been recorded on the
intangible asset by December 31, 2015?
17) A corporation called an outstanding bond obligation four years
before maturity. At that time there was an unamortized discount of
$750,000. To extinguish this debt, the company had to pay a call
premium of $250,000. Ignoring income tax considerations, how
should these amounts be treated for accounting purposes?