7._______ When calculating the present value of a bond, which table do you use? A. the PV of $1 b. the PV of an annuity of $1 c. both tables d. none of these

8._______ Johnson Corporation issued bonds at a discount because the interest rate offered on the bond was less than the market rate. The discount represents a. extra income for Johnson b. extra future interest expense for Johnson c. less future interest expense for Johnson d. none of these

9._______ The major source of new accounting principles in the United States is from the a. SEC b. FASB c. IRS d. SCCC Accounting Dept.

10._______ For Ivy Corporation, Income Summary would be closed to: a. Ivy Capital b. Ivy Common Stock c. Retained Earnings d. None of these

11._______ Which of the following payroll items is paid solely by the employer? A. FICA B. FUTA and SUTA C. Employees income taxes d. all of these are paid solely by the employer

12._______ Barney invests $1,000 today. What is the future value of this investment at the end of 5 years if the money is invested at 8%? A. $1,000 b. $1,080 c. $1,469 d. $12,500 e. none of these

13.______ Wilson purchases a $100,000 building, with estimated salvage value of $10,000 and useful life of 5 years. The accumulated depreciation account balance after two years of straight line depreciation will be: a. $40,000 b. $20,000 c. $36,000 d. None of these

14.______ Ward company made $100,000 of net income this year. Ward had 50,000 shares of common stock outstanding and no preferred stock. Wards stock is currently trading at $20 per share. What is the Earnings Per Share? a. $20 per share b. $.50 per share c. $2.00 per share d. $100,000 per share