Save
Upgrade to remove ads
Busy. Please wait.
Log in with Clever
or
show password
Forgot Password?
Don't have an account?  Sign up 
Sign up using Clever
or
Username is available taken
show password


Make sure to remember your password. If you forget it there is no way for StudyStack to send you a reset link. You would need to create a new account. Your email address is only used to allow you to reset your password. See our Privacy Policy and Terms of Service.

Already a StudyStack user? Log In

Reset Password
Enter the associated with your account, and we'll email you a link to reset your password.
focusNode
Didn't know it?
click below
 
Knew it?
click below
Don't Know
Remaining cards (0)
Know
0:00
edit
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.

  Normal Size     Small Size show me how

Accounting Exam 4

QuestionAnswer
An advantage of bond financing bonds do not affect owners control, interest on bond is tax deductible, bonds can increase return on equity, it allows firms to trade on the equity
Promissory notes that require the issuer to make a series of payments consisting of both interest and principal are installment notes
The effective interest amortization method allocates bond interest expense using a constant interest rate
A company may reitire bonds by Exercising a call option, the holders converting them to stock, purchasing the bonds on the open market, paying them off at maturity
A discount on bonds payable: Occurs when a company issues bonds with a contafct rate less than the market rate.
Amortizing a bond discount: Allocates a part of the total discount to each interest period
Bonds owned by investors whose names and addresses are recorded by the issuing company, and for which interest payments are made with checks to the bondholders, are called: Registered bonds
The contract rate of interest is also called the: Coupon rate, stated rate, or nominal ratee
A company retires its bonds at 105. The carying value of the bonds at the retirement date is $103, 645. The issuer's journal entry to record the retirement will include: Debit to Premium on Bonds
Bonds that have interest coupons attached to their certificates, which the bondholders detach during each interest perid and present to bank for collection are called: Coupon bonds
The market value of a bond is equal to: The present value of all future cash payments provided by a bond.
Installment notes payable that require periodic payments of accrued interest plus equal amounts of principal result in: Periodic total payments that gradually decrease in amount.
Bonds with a par value of less than $1000 are known as: Baby Bonds
A disadvantage of bonds is that
Created by: katiewagner301
 

 



Voices

Use these flashcards to help memorize information. Look at the large card and try to recall what is on the other side. Then click the card to flip it. If you knew the answer, click the green Know box. Otherwise, click the red Don't know box.

When you've placed seven or more cards in the Don't know box, click "retry" to try those cards again.

If you've accidentally put the card in the wrong box, just click on the card to take it out of the box.

You can also use your keyboard to move the cards as follows:

If you are logged in to your account, this website will remember which cards you know and don't know so that they are in the same box the next time you log in.

When you need a break, try one of the other activities listed below the flashcards like Matching, Snowman, or Hungry Bug. Although it may feel like you're playing a game, your brain is still making more connections with the information to help you out.

To see how well you know the information, try the Quiz or Test activity.

Pass complete!
"Know" box contains:
Time elapsed:
Retries:
restart all cards