Indicate how each event affects the elements of the financial statements. Use the following letters to record your answer in the box shown below each element. Use only one letter for each element. You do not need to enter amounts.Increase = IDecrease = DNo Effect = NA(Note that "No Effect" means that the event does not affect that element of the financial statements or that the event causes an increase in that element and is offset by a decrease in that same element.) Upon maturity, Eagle Co. repaid the face value of bonds of $100,000.AssetsLiabilitiesStk. EquityRevenuesExpensesNetStmt. of ?IncomeCash Flows???????
What will be an ideal response?
(D) (D) (NA) (NA) (NA) (NA) (D)
The repayment of a bond at maturity decreases assets (cash) and decreases liabilities (bonds payable). The repayment of principal is reported as a cash outflow for financing activities on the statement of cash flows.
You might also like to view...
If a specific campaign does not break even in the short run, it will not be profitable in the long run if we factor in customer lifetime value by calculating the average customer longevity, average customer annual expenditure, and average gross
margin, minus the average cost of customer acquisition and maintenance (discounted for the opportunity cost of money). Indicate whether the statement is true or false
________ is a remedy the tenant has for breach of implied warranty of habitability.
A. Security deposit refund B. New tenancy C. Rent abatement D. Lease extension
Jasmine receives an unsolicited credit card in the mail and tosses it on her desk. Without Jasmine's permission, her roommate Ilene uses the card to buy a new tablet for $500 . Jasmine is
a. liable for $500. b. liable for $250. c. liable for $50. d. not liable for any amount.
The North American Free Trade Agreement (NAFTA) has developed
a. new trade barriers that have been enacted by Canada. b. trade barrier reductions. c. a decrease in trade among the United States, Canada, and Mexico. d. entrepreneurial firms that have become less competitive.