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At the time of liquidation, Fairchild Company reported assets of $200,000, liabilities of $120,000, common stock of $70,000 and retained earnings of $10,000. What is the maximum amount of Fairchild’s assets that the shareholders are entitled to receive?

What effect will the declaration and distribution of a stock dividend have on net income and cash flows? Net IncomeCash FlowsA.NoneNoneB.NoneDecreaseC.IncreaseNoneD.DecreaseDecrease

Flagler Corporation shows a total of $700,000 in its Common Stock account and $700,000 in its Paid-in Capital Excess account. The par value of Flagler’s common stock is $7. How many shares of Flagler stock have been issued?

Emerald Company was established in January, Year 1. During Year 1 the company experienced the following events.Collected $125,000 cash from the issue of common stockBorrowed $60,000 cash from the state bankEarned $135,000 of cash revenuePaid $277,500 cash expensesThe company was liquidated at the end of Year 1. Based on this information:

How will an impairment loss of $15,000 relating to goodwill affect the financial statements?

Gilligan Corporation was established on February 15, Year 1. Gilligan is authorized to issue 500,000 shares of $6.00 par value common stock. As of December 31, Year 3, Gilligan’s stockholders’ equity accounts report the following balances: Common stock, $6 par, 500,000 shares authorized, 55,000 shares issued and outstanding$ 330,000 Paid-in capital in excess of par – Common440,000 $ 770,000Retained earnings 1,400,000Total stockholders’ equity $ 2,170,000 At the end of Year 3, Gilligan decides to issue a 5% stock dividend. At the time of issue, the market price of the stock was $22 per share.What is the amount of retained earnings that will be transferred to paid-in capital as a result of the stock dividend issued by Gilligan Corporation?

How is treasury stock reported on a corporation’s balance sheet?

The Miller Company earned $107,000 of revenue on account during Year 1. There was no beginning balance in the accounts receivable and allowance accounts. During Year 1, Miller collected $74,000 of cash from its receivables accounts. The company estimates that it will be unable to collect 3% of its sales on account.What is the amount of uncollectible accounts expense that will be recognized on the Year 1 income statement?

During the year, Todd Corporation issued 200 shares of $20 par value common stock for $50 a share. A total of 500 shares were authorized. In addition, the company purchased 75 shares of treasury stock at $44 a share. Which of the following best presents the related lines in the stockholders’ equity section of the company’s balance sheet?

Gilligan Corporation was established on February 15, Year 1. Gilligan is authorized to issue 325,000 shares of $12 par value common stock. As of December 31, Year 3, Gilligan’s stockholders’ equity accounts report the following balances: Common stock, $12 par, 325,000 shares authorized, 32,500 shares issued and outstanding$ 390,000 Paid-in capital in excess of par – Common65,000 $ 455,000Retained earnings 1,425,000Total stockholders’ equity $ 1,880,000 At the end of Year 3, Gilligan decides to issue a 8% stock dividend. At the time of issue, the market price of the stock was $21 per share.What is the number of shares outstanding after the stock dividend is issued?