Question 18 8 pts Be sure to answer all four parts of this question, and to format your entries appropriately. Prepare the appropriate journal entries, if required, for the following items: a. Sold 200,000 shares common stock at $3 cash each, $.01 par value b. Bought back 5,000 shares of company common stock at $8 a share to use for management incentives etc. c. Issued 100,000 shares of preferred stock for cash, $0.10 par value, for $20 a share. d. Company declared a 2 for 1 stock split when there were 2,000,000 shares outstanding. Note: Make sure to format your entries properly, whether you are using a table or plain text entry. Edit View Insert Format Tools Table 12pt w Paragraph * B J U A " By Ty P 1 0 words >Question 19 10 pts For each transaction provided, select the proper section of the statement of cash flows in which it should be reported (from the reporting categories provided below, or N/A if not in SCF). Reporting Categories F - Cash provided/used by financing activities I - Cash provided/used by investing activities O - Cash provided/used by operating activities D - Disclosed in notes to Statement of Cash Flows N/A - Not in Statement of Cash Flows [ Select ] Dividends paid March 1, were declared Feb 1. [ Select ] Purchase of equipment [ Select ] Purchase of treasury stock [ Select ] Issuance of bonds at a premium [ Select ] v Issuance of common stock for cash [ Select ] Customers paid some receivables owed to you [ Select ] v Sale of securities (long-term investments) [ Select ] Issuance of stock for more than its par value [ Select ] Sale of equipment, no gain or loss [ Select ] Principal payment on long-term note payableQuestion 20 10 pts Analyze the transactions of the business described below and indicate their effect on the basic accounting equation. Use (+) to indicate an increase and (-) to indicate a decrease. Select NE if there is no effect. 1. Signed a Finance lease for equipment. Assets Liabilities Equity [ Select ] [ Select ] [ Select ] 2. Billed customers for services provided. Assets Liabilities Equity [ Select ] V [ Select ] V [ Select ] 3. Used cash to repurchase stock. Assets Liabilities Equity [ Select ] v [ Select ] v [ Select ] 4. Paid interest as due on Note Payable. Assets Liabilities Equity [ Select ] [ Select ] V [ Select ] v 5. Purchased office equipment using payables. Assets Liabilities Equity [ Select ] [ Select ] [ Select ] 6. Split the common stock 2 for 1 Assets Liabilities Equity [ Select ] v [ Select ] V [ Select ] 7. Declared a dividend on common stock. Assets Liabilities Equity [ Select ] v [ Select ] V [ Select ] v 8. Issued bonds for cash. Assets Liabilities Equity [ Select ] [ Select ] V [ Select ]9. Net effect of selling fixed assets at a loss. Assets Liabilities Equity [ Select ] [ Select ] [ Select ] 10. Issued stock for cash. Assets Liabilities Equity [ Select ] [ Select ] [ Select ]Question 21 19 pts A comparative balance sheet for YNN Inc. appears below: VNN, Inc. Comparative Balance Sheet 12/31/22 12/31/21 Assets Cash $96,000 $38.000 Accounts receivable 18,000 22 000 Inventory 10,000 12,000 Prepaid expenses 8.000 5,000 Long-term investments -0- 23.000 Equipment 45,000 41,000 Accumulated depreciation-equipment (19.000) [14 080) Total assets $178.000 $127.000 Liabilities and Stockholders Equity Accounts payable $21,000 $37.000 Bonds payable 45,000 40 000 Common stock 35,000 23.000 Retained earnings 77.000 27.080 Total liabilities and stockholders' equity $178.000 $127,000 Additional information 1. Net income was $71,000 and $21,000 cash dividends were declared and paid during 2022 2. Long-term investments that had a cost of $23 000 were sold for $35,000, a gain of $12,000 3. There were purchases of Equipment, but no sales or disposals. Instructions: Prepare a statement of cash flows for December 31, 2022, (only the indirect method). You may enter it directly using a table or plain text entry. or you may copy/paste it from another program. Be sure to include section captions and properly labeled totals and subtotals. Edit View Insert Format Tools Table 12pt Paragraph BIYA P D Owords > 27 EQuestion 22 4 pts Kona, Inc, on April 15, issued a 5-year, $5,000 non-interest-bearing note payable when the market rate of interest was 9%. Round your answers to the nearest dollar, and do NOT enter dollar signs or punctuation. For example, enter $5,500 as 5500. a. What are the proceeds from Kona's Note issue? b. What is the book value of the note a year after its issuance? Question 23 4 pts KalaCo signed an agreement on January 1, 2021 for leased equipment under a 3-year lease with payments of $8,000 on January 1, 2021, 2022, and 2023. The present value of the lease payments at a discount rate of 7% is $20,992. She uses straight-line depreciation with no salvage value. The lease is considered a Finance lease. Round your answers to the nearest dollar, and do NOT enter dollar signs or punctuation. For example, enter $5,500 as 5500. a. Calculate depreciation expense for 2021. b. Calculate interest expense for 2021.Question 24 2 pts BVC, Inc. may be in a legal fight this coming year. Facts of a certain matter indicate they may have a case against BSN, Inc. for patent infringement. If they win, they could receive $111,000,000. It's a probability. Record the appropriate journal entry, if required, for BVC prior to any actual receipt of an award. Note: Make sure to format your entries properly, whether you are using a table or plain text entry. Edit View Insert Format Tools Table 12pt w Paragraph " B J U A* 2" Ty ! P Owords >Question 25 4 pts MAK, Inc. is in some legal trouble. They have been sued for patent infringement by CMN, Inc. If they lose, MAK Inc. could end up paying $200,000,000 when it settles. It is highly probable MAK will lose. a. Record the appropriate journal entry, if required, for MAK prior to any actual award of damages. b. Record the journal entry if the case settled for $184,000,000 Note: Make sure to format your entries properly, whether you are using a table or plain text entry. Edit View Insert Format Tools Table 12pt w Paragraph " B J U A & Ty P 1 0words >Question 26 10 pts Be sure to answer all three parts of this question, and to format your entries appropriately. Below are three lease transactions for SKN in 2022 as the Lessee. All leases start on 1/1/2022. Lessors BJN Leasing VNN Leasing CMN Leasing Corporate Specialized Type of property Data Center Helicopter Equipment Yearly rental $7.445,064 $5.449.423 $2,851,861 Lease term 15 years 15 years 20 years Estimated economic life 25 years 25 years 25 years Fair market value of leased asset $75,900.000 $44,000,000 $32,000,000 Present value of the rental payments $63,000,000 $40,000,000 $28,000,000 Purchase price at end of lease $32,000,000 $7,000,000 $14,000,000 Instructions (and a hint: remember the five criteria for a finance lease? Only one needs to be met) a. Identify the three above leases as either operating leases or finance leases. b. Record the initial journal entry for all of the above that are finance leases. c. Record the initial journal entry for all of the above that are operating leases. Note: Make sure to format your entries properly, whether you are using a table or plain text entry