1. On January 2, 2007 Stoner Corporation granted stock options to key employees for the purchase of 60,000 shares of the company's common stock at $25 per share. The options are intended to compensate employees for the next two years. The options are exercisable within a four-year period beginning January 1, 2009, by grantees still in the employ of the company. The market price of Stoner's common stock is $32 per share at the date of grant, and application of an option pricing model results in a computed value of $10 per option as of the grant date. Assume no stock options were terminated during the year. How much should Stoner charge to compensation expense for the year ended December 31, 2007?
A. $600,000 C. $300,000
B. $420,000 D. $210,000
2. On January 2, 2007, the board of directors of Gimli Mining Corporation declared a cash dividend of $1,200,000 to stockholders of record on January 18, 2007, and payable on February 10, 2007. The dividend is permissible by law in Gimli's state of incorporation.
Selected data from Gimli's December 31, 2006 balance sheet follow:
Accumulated depletion $200,000
Capital Stock $1,100,000
Additional paid-in capital $800,000
Retained Earnings $500,000
The $1,200,000 dividends includes a liquidating dividend of
A. $800,000 C. $600,000
B. $700,000 D. $200,000
3. At the date of the financial statements, common stock shares issued would exceed common stock shares outstanding as a result of the
A. Declaration of a stock split
B. Declaration of a stock dividend
C. Purchase of treasury stock
D. Payment in full of subscribed stock
4. A company issued rights to its existing shareholders to acquire, at $15 per share, 5,000 unissued shares of common stock with a par value of $10 per share. Common Stock will be credited at
A. $15 per share when the rights are exercised
B. $15 per share when the rights are issued
C. $10 per share when the rights are exercised
D. $10 per share when the rights are issued
5. On December 10, Daniel Co. split its stock 5 for 2 when the market value was $65 per share. Prior to the split, Daniel had 200,000 shares of $15 par value stock. After the split, the par value of the stock was
A. $3 C. $15
B. $6 D. $26
6. Thorpe Corporation holds 10,000 shares of its $10 par common stock as treasury stock, which was purchased in 2006 at a cost of $120,000. On December 10, 2007, Thorpe sold all 10,000 shares for $210,000. Assuming that Thorpe used the cost method of accounting for treasury stock, this sale would result in a credit to
A. Paid in Capital from Treasury Stock of $90,000
B. Paid in Capital from Treasury Stock of $110,000
C. Gain on Sale of Treasury Stock of $90,000
D. Retained Earnings of $90.000
7. The stockholders' equity section of Dolphin Corporation as of December 31, 2007, contained the following accounts:
Common stock, 25,000 shares authorized; 10,000 shares issued and
Capital contributed in excess of par $40,000
Retained earnings $80,000
Dolphin's board of directors declared a 10 percent stock dividend on April 1, 2008, when the market value of the stock was $7 per share. Accordingly, 1,000 new shares were issued. All of Dolphin's stock has a par value of $3 per share. Assuming Dolphin sustained a net loss of $12,000 for the quarter ended March 31, 2008, what amount should Dolphin report as retained earnings as of April 1, 2008?
A. $61,000 C. $68,000
B. $64,000 D. $73,000
8. On September 20, 2007 Nozzle Corporation declared the distribution of the following dividend to its stockholders of record as of September 30, 2007:
Investment in 100,000 shares of Astro Corporation stock, carrying value $600,000; fair market value on September 20, $1,450,000; fair market value on September 30, $1,575,000.
The entry to record the declaration of the property dividend would include a debit to Retained Earnings of
A. $1,575,000 C. $850,000
B. $1,450,000 D. $600,000
9. At December 31, 2007, Reed Corp. owed notes payable of $1,000,000 with a maturity date of April 30, 2008. These notes didn't arise from transactions in the normal course of business. On February 1, 2008, Reed issued $3,000,000 of 10 year bonds with the intention of using part of the bond proceeds to liquidate the $1,000,000 of notes payable. Reed's December 31, 2007 financial statements were issued on March 29. How much of the $1,000,000 notes payable should be classified as current in Reed's balance sheet at December 31, 2007?
A. $0 C. $900,000
B. $100,000 D. $1,000,000
The solution explains various multiple choice questions relating to stockholders equity
Amino acids multiple choice questions
Which statement is incorrect about the classification of amino acids?
a. Alanine and valine are neutral, nonpolar amino acids.
b. Lysine and arginine are basic amino acids.
c. Tryptophan and phenylalanine are aromatic amino acids.
d. Aspartic acid and aspargine are acidic amino acids.
Which of the following amino acids is the least water soluble at pH 7.0?
b. Glutamic acid
Which amino acid would migrate the furthest toward the anode (positive electrode) during paper electrophoresis at pH 7.0?
a. Aspartic acid
Which of the following functional groups, attached to an inert matrix, could function as a cation exchanger?
Which of the following amino acids would make the best buffer at pH 4.5?
d. Aspartic acid
Which fact is incorrect about stereoisomers?
a. A diastereomer is a nonsuperimposable non-mirror image.
b. An enantiomer is a nonsuperimposible mirror image.
c. Diastereomers have different melting points.
d. Diastereomers rotate plane polarized light in equal but opposite direction.
Which statement is incorrect about L-isoleucine?
a. Its enantiomer is named O-isoleucine.
b. It contains a total of two asymmetric or chiral carbons.
c. It can also be named as (28, 38)-isoleucine using the (R,8) system.
d. Its diastereomer would be named O-alloisoleucine.
An isoelectric amino acid was dissolved in water and the resulting pH was approximately 7.6. What amino acid would possess this property?
b. Glutamic acid
What volume of NaOH is required to adjust the solution of monosodium aspartate to pH 9.8?
a. 1 ml
b. 2 ml
c. 3 ml
d. 6 ml or more
What volume of 2 N Hel is required to completely titrate the 4 mmol of monosodium aspartate?
a. 2 ml
d. 6 ml or more
Which statement is correct about the peptide ala-ser?
a. Alanine is at the N-terminal of the peptide.
b. There are a total six atoms that lie in the plane of the peptide bond linking alanine to serine.
c. The alpha-carbon of alanine is sp3 hybridized d All the above are correct statements.
What is the product formed from the acid hydrolysis of a simple amide?
a. Acid & base
b. Aldehyde & alcohol
c. Acid & amine
d. Ester & alcohol
The complete acid hydrolysis of the peptide ala-gln-trp-ser would yield:
a. Ala, gin, trp, ser
b. Ala, glu, ser
c. Ala, glu, trp, ser
d. Ala. ser
Fibrous proteins, such as collagen, have which of the following properties?
a. Highly soluble in water
b. Their hydrophilic residues are directed into the interior of the protein
c. Exhibit enzymatic activity
d. Serve structural roles in the cell
Quaternary structure is associated with:
a. The overall shape of a polypeptide chain
b. The sum of the secondary and tertiary interactions
c. Simple proteins with only one subunit
d. The relative orientation of one polypeptide to another polypeptide in a multi-subunit protein.
The information needed to define the structure of a protein is essentially contained in:
a. Amino acid composition
b. Amino acid sequence
c. Secondary structure
d. Tertiary structure.
Insulin is a polypeptide hormone that contains two short polypeptide chains linked by two interstrand disulfide bonds. The most logical order of events to perform in order to sequence this protein would be:
A: The peptides are reduced with mercaptoethanol.
B: The peptides are sequenced using Edman chemistry .
C: The peptides are separated by chromatography techniques. 0: The peptides are alkylated with iodoacetamide.
a. A, D,C, B b.C,A, 0, B
c. C, B, A, 0
d. A, B, C, 0
Which statement is incorrect about the peptide val-asp-trp-asn-ser?
a. This peptide would show a strong absorption band at 280 nm.
b. Reaction with chymotrypsin would yield two peptides.
c. To synthesize this peptide using the solid phase method of Merrifield, the amino acid directly attached to the resin would be serine.
d. After the second round of Edman chemistry using the reagent PITC, the PTH -amino acid residue released would be PTH-asn.
Which statement is incorrect about the reaction of the peptide ser-Iys-asp-trp-cys-metasn-phe-ala with the following reagents?
a. Reaction with cyanogens bromide would yield two peptides.
b. Reaction with trypsin would result in three peptides. The smallest of three peptides would have the highest pi of the three.
c. Reaciton with chymotrypsin would result in the peptides ser-Iys-asp & try-cys-met-Iysasn-phe-ala .
d. Reaction with chymotrypsin would yield a different set of peptides that overlap those obtained with tryspsin
Determine the amino acid sequence of the following oligopeptide from the experimental data below:
The amino acid composition is found the be ala, Iys, phe, met, cys plus some
2. The peptide has a molecular weight around 700 Da and absorbs at 280 nm.
3. Treatment with carboxypeptidase results in tryptophan and a peptide.
4. CNBr treatment yields a tetrapeptide and a dipeptide.
5. Trypsine digestion produces an amino acid and a pentapeptide with met on the amino end.
6. Chymotrypsin digestion yields a dipeptide and a tetrapeptide.
d. Iys-ala-cys-phe-met -trp