Acct Exam 10

1. Napier Co. provided the following information on selected transactions during 2015: Purchase of land by issuing bonds Proceeds from issuing bonds Purchases of inventory Purchases of treasury stock Loans made to affiliated corporations Dividends paid to preferred stockholders Proceeds from issuing preferred stock Proceeds from sale of equipment The net cash provided by financing activities during 2015 is (Points : 2) $1,600,000. $500,000 1,500,000 1,900,000 300,000 700,000 200,000 800,000 150,000 $1,800,000. $2,100,000. $2,300,000. Question 2.2. The following methods of estimating inventory can be used at interim dates for inventory pricing. May they also be used at year end? Gross Profit Method Retail Inventory Method (Points : 2) No No No Yes Yes No Yes Yes Question 3.3. The focus of APB Opinion No. 22 is on the disclosure of accounting policies. This information is important to financial statement readers in determining (Points : 2) net income for the year. whether accounting policies are consistently applied from year to year. the value of obsolete items included in ending inventory. whether the working capital position is adequate for future operations.