Bond Payable Assignment
33)A 10-year Bond Payable is listed on the balance sheet under the caption a. long-term liabilities b. fixed assets C. current assets d. investments 34) On April 1, the Prakash Corporation issued 10,000 shares of $2 par value common stock at $22 per share. Please write the journal entry: 35) On April 10, a company acquired land in exchange for 1,000 shares of $20 par common stock with a current fair-market price of 560 per share. Please write the journal entry 36) List two differences between debt securities (bonds) and equity securities (stocks). 37) On July 4, 2018, Wynn Inc. purchased the mineral rights to a granite deposit for 51,600,000 It is estimated that the recoverable granite will be 400,000 tons.
During 2018, 100,000 tons of granite were extracted. The amount of depletion recognized for 2018 would be a. $200,000 b. $120,000 c. $240,000 d. $400,000 38) The Morenzt Company purchases equipment at the beginning of the fiscal year for $320,000; the equipment is expected to have a useful life of 5 years, or 15,000 operating hours, and a salvage value of $20,000. Compute the depreciation for the first year of use by each of the following methods: (a) straight-line (b) units-of-production (1,800 hours a first year) (c) double-declining-balance 39) On December 31, Sul Company has decided to sell one of its batting cages. The initial cost of the equipment was $215,000 with accumulated depreciation of $185,000. Depreciation has been taken up to the end of the year. Sul Company found a company that is willing to buy the equipment for $26,000. What is the amount of the gain or loss on this transaction? .
