True/False ____ 18. The stock dividends distributable account is listed in the current liability section of the balance sheet. ____ 19. The salary allowance allocation to partners used in dividing net income would also appear as salary expense on the partnership income statement. ____ 20. A devotes full time and B devotes one-half time to their partnership. If the partnership agreement is silent concerning the division of net income, A will receive a $20,000 share of a net income of $30,000.
True/False
____ 18. The stock dividends distributable account is listed in the current liability section of the balance sheet.
____ 19. The salary allowance allocation to partners used in dividing net income would also appear as salary expense on the partnership income statement.
____ 20. A devotes full time and B devotes one-half time to their partnership. If the partnership agreement is silent concerning the division of net income, A will receive a $20,000 share of a net income of $30,000.
____ 21. XX sells (for $40,000 cash) to AA one-half of a partnership capital interest that totals $70,000. AA's capital account in the partnership should be credited for $40,000.
____ 22. A corporation has 12,000 shares of $20 par value stock outstanding that has a current market value of $150. If the corporation issues a 4-for-1 stock split, the market value of the stock will fall to approximately $50.
____ 23. The declaration of a cash dividend decreases a corporation's
____ 24. Cash dividends become a liability to a corporation on the date of record.
____ 25. The declaration and issuance of a stock dividend does not affect the total amount of a corporation's assets, liabilities, or stockholders' equity.
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