True or False
1. Expenditures made to extend an asset's life are deemed revenue expenditures?
2. Residual value is ignored under declining balance depreciation except for the final year?
3. Goodwill equals the purchase price of a company over the fair market value of its net assets?
4. FICA tax is a payroll tax that is paid by both the employee and the employer?
5. If the market rate of interest is 8% and a corporation's bonds bear interest at 7%, the bonds will sell at a discount?
6. If 50,000 shares are authorized, 35,000 shares are issued, and 1,000 shares are reacquired, the number of outstanding shares is 36,000?
7. Cash dividends are normally paid on shares of treasury stock?
8. The declaration of a cash dividend decreases a corporations stockholder's equity and decreases its assets?
9. Outstanding checks are checks that have been issued, but have not cleared the bank?