Dividends payable is credited for the amount of cash dividends on:

A. Date of Payment

B. Date of Record

C. Last date in the fiscal period

D. Date of Declaration

Burger King has 100,000 authorized shares of $5 par common stock. Burger King issued 40,000 shares at $7. Subsequently, the company declared a 2% stock dividend on a date when the market price was $9 a share. The effect of the declaration and issuance of the stock dividend is to:

A. Retained Earnings: Decrease; Common Stock: Increase; APIC in Excess of Par: Increase

B. Retained Earnings: Increase; Common Stock: Decrease; APIC in Excess of Par: Decrease

C. Retained Earnings: Increase; Common Stock: Decrease; APIC in Excess of Par: Increase

D. Retained Earnings: Decrease; Common Stock: Increase; APIC in Excess of Par: Decrease

What is the total stockholder’s equity balance of McDonald’s based upon the following account balances listed below: Common Stock$1,000,000Paid-In Capital Excess of Par$80,000Retained Earnings$380,000Treasury Stock$40,000A.   $1,040,000B.    $1,060,000C.    $1,420,000D.   $1,500,000Taco Bell purchases 20,000 shares of its own $20 par common stock for $35 per share. What will be the effect on Taco Bell’s Total Stockholders’ equity?

A. Increase by $400,000

B. Increase by $700,000

C. Decrease by $400,000

D. Decrease by $700,000

Treasury Stock represents stock that is:

A. Authorized but not issued

B. Issued but not outstanding

C. Issued and outstanding

D. Authorized and outstanding