On June 1, $50,000 of treasury bonds were purchased between interest dates. The broker commission was $500 . The bonds pay interest at 12%, which is paid semiannually on January 1 and July 1 . What is the total cost to be debited to the Investment—Treasury Bonds account?
a. $50,000
b. $50,500
c. $49,500
d. $53,000
b
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Effective internal control over the payroll function would include which of the following?
A. Payroll Department employees should be supervised by the management of the Human Resource Department. B. Total time spent on jobs should be compared with total time indicated on time sheets. C. Total time recorded on time sheets should be reconciled to job reports by employees responsible for those specific jobs. D. Payroll Department employees should be responsible for maintaining employee personnel records.
Which statement is true about a company's choice of capitalization policy?
a. All assets with a useful life of more than one year must be capitalized. b. The company's policy must meet the minimum capitalization amounts established by GAAP. c. The company's policy is determined relative to materiality and the cost of maintaining asset records. d. The company may elect to capitalize operating expenses which exceed the minimum threshold for asset capitalization.
A prenuptial agreement must be in writing to be enforceable under the Statute of Frauds
Indicate whether the statement is true or false
Eva borrows $10,000 from First National Bank to remodel a room in her home. This transaction is subject to
A. the Consumer Leasing Act. B. the Magnuson-Moss Warranty Act. C. the Truth-in-Lending Act. D. the Uniform Commercial Code.