Question : 64.Minerva Company was authorized to issue 100,000 shares of common : 1254264

64.Minerva Company was authorized to issue 100,000 shares of common stock. The company had issued 25,000 shares of stock when it purchased 5,000 shares of treasury stock. The number of outstanding shares of common stock was:   

A. 95,000.

B. 30,000.

C. 25,000.

D. 20,000.

65.Church Company declared and paid a cash dividend. Which of the following choices accurately reflects how this event would affect the company’s financial statements?     

A. Option A

B. Option B

C. Option C

D. Option D

On March 1, 2013, Garrison Incorporated declared a cash dividend on its 1,500 outstanding shares of $50 par value, 5% preferred stock. The dividend will be paid on May 1, 2011 to the stockholders of record as of April 1, 2013.

66.The entry to record the dividend on March 1 will have which of the following financial statement effects?     

A. Option A

B. Option B

C. Option C

D. Option D

67.Which of the following reflects the financial statement effects on the May 1, 2013 date of payment?     

A. Option A

B. Option B

C. Option C

D. Option D

68.With respect to the current ratio, the declaration of a cash dividend will:   

A. have no effect on the current ratio.

B. have an effect that depends on the market price of the stock at the time the dividend is declared.

C. increase the current ratio.

D. decrease the current ratio.

69.Curren Co. paid dividends of $3,000; $6,000; and $10,000 during 2010, 2011 and 2012, respectively. The company had 500 shares of 5%, $200 par value preferred stock outstanding that paid cumulative dividend. The amount of dividends received by the common shareholders during 2012 would be:   

A. $5,000.

B. $4,000.

C. $3,000.

D. $2,000.

70.The payment of a previously declared cash dividend will   

A. decrease assets and equity.

B. increase liabilities and decrease equity.

C. decrease liabilities and increase equity.

D. None of these is correct.

71.Sherman Corporation declared a 3-for-1 stock split on 8,000 shares of $7.50 par value common stock. If the market price of the stock had been $30 a share before the split, the par value, number of shares, and approximate market value after the split would be     

A. Option A

B. Option B

C. Option C

D. Option D

72.For 2013, the Warner Corporation had beginning and ending Retained Earnings balances of $208,054 and $231,112 respectively. Also during 2013, the corporation declared and paid cash dividends of $29,000 and issued stock dividends valued at $16,000. Total expenses were $32,916. Based on this information, what was the amount of total revenue for 2013?   

A. $68,058

B. $100,974

C. $143,054

D. $179,032

73.The declaration and issuance of a stock dividend will   

A. have no effect on the current ratio

B. have an effect on the current ratio that depends on the market price of the stock at the time the dividend is declared

C. increase the current ratio

D. decrease the current ratio