Dividends payable is credited for the amount of cash dividends on: A.   Date of

Dividends payable is credited for the amount of cash dividends on:
A.   Date of Payment
B.    Date of Record
C.    Last date in the fiscal period
D.   Date of Declaration
Burger King has 100,000 authorized shares of $5 par common stock. Burger King issued 40,000 shares at $7. Subsequently, the company declared a 2% stock dividend on a date when the market price was $9 a share. The effect of the declaration and issuance of the stock dividend is to:
A.   Retained Earnings: Decrease; Common Stock: Increase; APIC in Excess of Par: Increase
B.    Retained Earnings: Increase; Common Stock: Decrease; APIC in Excess of Par: Decrease
C.    Retained Earnings: Increase; Common Stock: Decrease; APIC in Excess of Par: Increase
D.   Retained Earnings: Decrease; Common Stock: Increase; APIC in Excess of Par: Decrease
What is the total stockholder’s equity balance of McDonald’s based upon the following account balances listed below: 
Common Stock
$1,000,000
Paid-In Capital Excess of Par
$80,000
Retained Earnings
$380,000
Treasury Stock
$40,000
A.   $1,040,000
B.    $1,060,000
C.    $1,420,000
D.   $1,500,000
Taco Bell purchases 20,000 shares of its own $20 par common stock for $35 per share. What will be the effect on Taco Bell’s Total Stockholders’ equity?
A.   Increase by $400,000
B.    Increase by $700,000
C.    Decrease by $400,000
D.   Decrease by $700,000
Treasury Stock represents stock that is:
A.   Authorized but not issued
B.    Issued but not outstanding
C.    Issued and outstanding
D.   Authorized and outstanding

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