14 Moving to another question will save this response. Question 3 In bond financing, if the interest on bonds (contract rate) higher than the market interest rate, the bonds will be issued with OA par value. OB. discount on bonds payable. OC. premium on bonds payable. OD. a specific maturity date. A Moving to another question will save this response. SHIBA 14 Moving to another question will save this response. Question 4 The costs of bringing a corporation into existence, including legal fees, promoter fees, and amounts paid to obtain a charter are called OA. Stock subscriptions OB. Organization costs OC. Minimum legal capital. OD. Cumulative costs. IBA Moving to another question will save this response. Moving to another question will save this response. Question 5 Which of the following shows the proper effect of a stock split and a stock dividend? Item Total paid-in capital Item OA Stock Split Stock Dividend Increase Increase OB. Stock Split Total retained earnings Decrease Item Stock Split Par value per share No change OD. Item Stock Split Par value per share Decrease Stock Dividend Stock Dividend Increase Stock Dividend No change Decrease OSHIBA Moving to another question will save this response. 12 13 14 Moving to another question will save this response. estion 6 On October 1, a corporation had 200,000 shares of $4 par value common stock, and $1,000,000 of retained eamings. The corporation decides a 21 stock spit. The g this transaction is OA Retained earnings (debit) and common stock spilt distribution (ced) OB. Retained eamings (debit) and stock split (credi OC. No journal entry OD. Retained earnings (debit) and common stock (credit) Moving to another question will save this response R