Corps
Com' on
Treasure
Entries
Who's Liable?
100
Double Taxation, No sole responsibility, Additional Paperwork
What are the disadvantages of owning a corporation?
100
The legal capital per share of stock that's assigned when the corporation is first established.
What is par value?
100
Contra Equity Account
What is Treasury Stock?
100
Credit Common Stock
What is the entry when issuing common stock?
100
Past transaction, Present obligation, Future sacrifice of resources
What is a liability?
200
Limited Liability, Ability to raise capital, Lack of mutal agency
What are the advantages of a Corporation?
200
Has the highest risk to the investory, highest expected return to the investor, and lowest preference for payments.
What is common stock?
200
Debit Balance
What is the normal balance of the treasury stock?
200
Credit to Additional Paid in Captial
Where is the excess paid over par value recorded?
200
Unemployment Tax
What tax is only paid by the employer?
300
The amount of earnings the corporation has retained, that is the earnings not paid out in dividends.
What is Retained Earnings?
300
The total number of shares available to sell.
What is authorized stock?
300
Decreases the total equity
How does treasury stock function?
300
Debit Treasury Stock
What is the entry to repurchase common stock?
300
FICA
What tax is paid by the employee and the employer?
400
The corporation's own stock that it has reacquired.
What is Treasury stock?
400
The number of shares held by investors.
What is outstanding stock?
400
Original Cost
What is the value of treasury stock when it is reissued?
400
Credit Treasury Stock
What is the entry to issue treasury stock?
400
Receive cash in advance before services are performed, has a normal credit balance.
What is unearned revenue?
500
Right to vote, right to receive dividends, right to share in distribution of assets, preemptive right
What are stockholder rights?
500
The number of shares that have been sold to investors.
What is issued stock?
500
Treasury stock is not included in the calculation of stock that is ___________________.
What is outstanding?
500
Debit Additional Paid in Capital
What is entry to record treasury stock sold for less than cost?
500
Debit Warranty Expense, Credit Warranty Payable
What is recorded as an adjusting entry to estimate warranty cost?
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