Question 1

If the bond's stated rate of interest is less than the market rate of interest,the bond will be issued at:

Accepted Answer

A) maturity value. 
B) a premium. 
C) par. 
D) a discount. 
A) maturity value. 
B) a premium. 
C) par. 
D) a discount.

Question 2

Debentures are bonds that are backed only by the general credit of the company issuing the bond.

Accepted Answer

A) True 
 B)False

Question 3

If the bond's stated rate of interest is greater than the market rate of interest,the bond will be issued at:

Accepted Answer

A) a discount. 
B) par. 
C) a premium. 
D) maturity value. 
A) a discount. 
B) par. 
C) a premium. 
D) maturity value.

Question 4

A known obligation of an unknown amount is a(n):

Accepted Answer

A) contingent liability. 
B) estimated liability. 
C) known liability. 
D) accrued liability. 
A) contingent liability. 
B) estimated liability. 
C) known liability. 
D) accrued liability.

Question 5

When a liability exists,the amount owed is always known.

Accepted Answer

A) True 
 B)False

Question 6

Even liabilities of unknown amounts are required to be placed on the Balance Sheet.

Accepted Answer

A) True 
 B)False

Question 7

Having liabilities classified incorrectly will have a big impact on the company's current ratio.

Accepted Answer

A) True 
 B)False

If the bond's stated rate of interest is less than the market rate of interest,the bond will be issued at:

Debentures are bonds that are backed only by the general credit of the company issuing the bond.

If the bond's stated rate of interest is greater than the market rate of interest,the bond will be issued at:

A known obligation of an unknown amount is a(n):

When a liability exists,the amount owed is always known.

Even liabilities of unknown amounts are required to be placed on the Balance Sheet.

Having liabilities classified incorrectly will have a big impact on the company's current ratio.

Business, Accounting, and You

Analyzing and Recording Business Transactions

Adjusting and Closing Entries

Accounting for a Merchandising Business

Inventory

The Challenges of Accounting: Standards, internal Control, audits, fraud, and Ethics

Cash and Receivables

Long-Term and Other Assets

Corporations: Paid-In Capital and Retained Earnings

The Statement of Cash Flows

Financial Statement Analysis

Filters

Exam 9: Current Liabilities and Long-Term Debt

If the bond's stated rate of interest is less than the market rate of interest,the bond will be issued at:

Debentures are bonds that are backed only by the general credit of the company issuing the bond.

If the bond's stated rate of interest is greater than the market rate of interest,the bond will be issued at:

A known obligation of an unknown amount is a(n):

When a liability exists,the amount owed is always known.

Even liabilities of unknown amounts are required to be placed on the Balance Sheet.

Having liabilities classified incorrectly will have a big impact on the company's current ratio.

Business, Accounting, and You

Analyzing and Recording Business Transactions

Adjusting and Closing Entries

Accounting for a Merchandising Business

Inventory

The Challenges of Accounting: Standards, internal Control, audits, fraud, and Ethics

Cash and Receivables

Long-Term and Other Assets

Corporations: Paid-In Capital and Retained Earnings

The Statement of Cash Flows

Financial Statement Analysis

Filters