Below Are the 2008 and 2009 Year-End Balance Sheets for Wolken

question 25

Multiple Choice

Below are the 2008 and 2009 year-end balance sheets for Wolken Enterprises: D Wolken has never paid a dividend on its common share, and it issued $2,400,000 of 10-year non- callable, long-term debt in 2008. As of the end of 2009, none of the principal on this debt had been repaid. Assume that the company's sales in 2008 and 2009 were the same. Which of the following statements must be correct?

• A) Wolken increased its short-term bank debt in 2009.
• B) Wolken issued long-term debt in 2009.
• C) Wolken issued new common shares in 2009.
• D) Wolken repurchased some common shares in 2009.

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Definitions:

Biological Clock

An internal mechanism in organisms that controls the cycle of various physiological functions, such as sleep and wakefulness.

Functioning

The action or purpose for which a person or thing is suited or employed, especially with regard to normal or healthy operation.

Disruptions

Interruptions or disturbances that prevent a system, process, or event from continuing as usual or expected.

Psychological Effects

The impacts on an individual’s mental and emotional state or functioning as a result of various factors including stress, trauma, or other psychological stimuli.