The stockholders’ equity accounts of Castle Corporation on January 1, 2017, were as follows.

Preferred Stock (8%, $50 par, cumulative, 11,000 shares authorized) $ 425,000
Common Stock ($1 stated value, 1,950,000 shares authorized) 1,150,000
Paid-in Capital in Excess of Par—Preferred Stock 105,000
Paid-in Capital in Excess of Stated Value—Common Stock 1,450,000
Retained Earnings 1,850,000
Treasury Stock (10,500 common shares) 42,000

During 2017, the corporation had the following transactions and events pertaining to its stockholders’ equity.

Feb. 1 Issued 25,500 shares of common stock for $116,000.
Apr. 14 Sold 5,800 shares of treasury stock—common for $33,900.
Sept. 3 Issued 5,200 shares of common stock for a patent valued at $35,900.
Nov. 10 Purchased 1,100 shares of common stock for the treasury at a cost of $6,000.
Dec. 31 Determined that net income for the year was $450,000.
No dividends were declared during the year.

A: Journalize the transactions and the closing entry for net income.

B: Enter the beginning balances in the accounts, and post the journal entries to the stockholders’ equity accounts.

C: Prepare a stockholders’ equity section at December 31, 2017, including the disclosure of the preferred dividends in arrears.

Risk is the risk of a decline in a bond's value due to an increase in interest rates. this risk is higher on bonds that have long maturities than on bonds that will mature in the near future. risk is the risk that a decline in interest rates will lead to a decline in income from a bond portfolio. this risk is obviously high on callable bonds. it is also high on short-term bonds because the shorter the bond's maturity, the fewer the years before the relatively high old-coupon bonds will be replaced with new low-coupon issues. which type of risk is more relevant to an investor depends on the investor's , which is the period of time an investor plans to hold a particular investment. longer maturity bonds have high risk but low risk, while higher coupon bonds have a higher level of risk and a lower level of risk. to account for the effects related to both a bond's maturity and coupon, many analysts focus on a measure called , which is the weighted average of the time it takes to receive each of the bond's cash flows. conceptual question: which of the following bonds would have the largest duration? a)10year-zero coupon bonds b)10year-7% annual coupon bonds c)10year-3% annual coupon bonds d)5year-3% annual coupon bonds e)3year-7% annual coupon bonds