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Question
What is the balance in paid-in capital-stock options as of December 31, 2012 assuming that the fair value approach is used?
A. $0
B. $25,000
C. $50,000
D. $100,000
Answer
This answer is hidden. It contains 25 characters.
Related questions
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The Black Corporation has provided the following information:
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Increase in prepaid expenses: $14,000
Amortization of discount on bonds payable: $10,000
Decrease in accounts payable: $20,000
Increase in inventory: $21,000
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Q:
Which of the following correctly describes U.S. GAAP accounting for convertible bonds and the implication of that requirement?
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550,000 shares of common stock were outstanding on January 1, 2011.
Bonds convertible into 50,000 shares of common stock were issued on July 1, 2011; the bonds have been determined to be dilutive.
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D. The company must have participating preferred stock outstanding.
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Which of the following is not indicative of a complex capital structure?
A. Outstanding convertible bonds.
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D. Outstanding stock options.
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Assuming that the preferred stock is cumulative, and that there are no dividends in arrears, what is the maximum dividend that may be distributed to common shareholders at December 31, 2012?
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Q:
What is the owners' equity balance on December 31, 2012?
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What is the retained earnings balance on December 31, 2012?
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Which of the following does not accurately describe the proprietary view of the firm?
A. Its focus is on the firm's net assets.
B. It is the prevailing view of GAAP.
C. Its focus is on owners' equity.
D. Whether creditors or shareholders provided the firm's assets is irrelevant.
Q:
By using the book value method to record the conversion of convertible bonds, managers are able to protect themselves from recording conversion losses.
Q:
SFAS No. 123 required companies to use the fair value approach when determining compensation expense pertaining to stock options.