I’m looking for some serious help with my two assignments, I was trying to find Iowaringa so he can help me out. One assignment is a quiz and the second is 1 homework problem. Attachment 1 Attachment 2 ATTACHMENT PREVIEW Download attachment 17 pages Quiz 8 acct.docx Question 1 (30 points) On December 31, 2014, Rayco Inc. had the following balances (all balances are normal): Accounts Amount Preferred Stock, ($100 par value, 5% noncumulative, 50,000 shares authorized, 10,000 shares issued and outstanding) $1,000,000 Common Stock ($10 par value, 200,000 shares authorized, 100,000 shares issued and outstanding) $1,000,000 Paid-in Capital in Excess of par, Common 150,000 Retained Earnings 700,000 The following events occurred during 2014 and were not recorded: a. On January 1, Rayco declared a 5% stock dividend on its common stock when the market value of the common stock was $15 per share. Stock dividends were distributed on January 31 to shareholders as of January 25. b. On February 15, Rayco reacquired 1,000 shares of common stock for $20 each. c. On March 31, Rayco reissued 250 shares of treasury stock for $25 each. d. On July 1, Rayco reissued 500 shares of treasury stock for $16 each. e. On October 1, Rayco declared full year dividends for preferred stock and $1.50 cash dividends for outstanding shares and paid shareholders on October 15. f.On December 15, Rayco split common stock 2 shares for 1. g. Net Income for 2014 was $275,000. Requirements: a. Prepare journal entries for the transactions listed above. b. Prepare a Stockholders’ section of a classified balance sheet as of December 31, 2014. Question 1 options: Skip Toolbars for . More Insert actions. Question 2 (5 points) On January 1, 2014, XYZ Company purchased 10,000 shares of the stock of Rayco, and did obtain significant influence. The investment is intended as a long-term investment. The stock was purchased for $90,000, and represents a 30% ownership stake. Rayco made $25,000 of net income in 2014, and paid dividends of $10,000. The price of Rayco’s stock increased from $10 per share at the beginning of the year, to $12 per share at the end of the year. Requirements: a. Prepare the January 1 and December 31 general journal entries for XYZ Company. b. How much should the XYZ Company report on the balance sheet for the investment in Rayco at the end of 2014? Question 2 options: Skip Toolbars for . More Insert actions. Question 3 (10 points) The following is selected information from Rayco Company for the fiscal years ended December 31, 2014: Rayco Company had net income of $1,225,000. Depreciation was $500,000, purchases of plant assets were $1,250,000, and disposals of plant assets for $500,000 resulted in a $50,000 gain. Stock was issued in exchange for an outstanding note payable of $725,000. Accounts receivable decreased by $25,000. Accounts payable decreased by $40,000. Dividends of $300,000 were paid to shareholders. Rayco Company had interest expense of $50,000. Cash balance on January 1, 2014 was $250,000. Requirements: Prepare Rayco Company’s statement of cash flows for the year ended December 31, 2014 using the indirect method. Question 3 options: Skip Toolbars for . More Insert actions. Question 4 (15 points) Rayco Corporation had the following bond transactions during the fiscal year 2014: a. On January 1: issued ten $1,000 bonds at 102. The 5-year bonds is dated January 1, 2014. The contract interest rate is 6%. Straight-line amortization method is used. Interest is payable semi-annual on January 1 and July 1. b. On July 1: Rayco Corporation issued $500,000 of 10%, 10-year bonds. The bonds dated January 1, 2014 were issued at 88.5, and pay interest on July 1 and January 1. Effective interest rate for these bonds is 12%. Straight-line amortization method is used. c. On October 1: issued 10-year bonds $10,000 face value bonds, for $10,853 cash. The bonds have a stated rate of 9%, but an effective rate of 6%. Straight-line amortization method is used. In