When stock is issued for legal services, the transaction is recorded by debiting Organization expense for thea. Declared value the the stock.b. Par worth of the stock.c. Market value the the stock.d. Publication value of the stock.

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If share is issued because that a noncash asset, the asset need to be taped on the publications of the corporation ata. Same value. B. Cost. C. Zero. D. A in the name of amount.
Crain company issued 2,000 share of that is $5 par value usual stock in payment the its attorney"s bill of $40,000. The invoice was for solutions performed in helping the firm incorporate. Crain need to record this transaction through debitinga. Legal cost for $10,000.b. Legal expense for $40,000.c. Organization cost for $10,000.d. Organization price for $40,000.
If Keene firm issues 4,500 shares of $5 par value common stock because that $80,000, the accounta. Typical Stock will be attributed for $22,500.b. Paid-in capital in excess of Par will be credited for $22,500.c. Paid-in funding in excess of Par will be credited for $80,000.d. Cash will be debited for $57,500.
Aaron, Inc. Paid $90,000 to buy earlier 10,000 share of that $1 par value typical stock. This stock to be sold later at a offering price the $6 every share. Assuming the there is at this time no balance in the APIC-Treasury share account, The entry to record the sale consists of a a. Debit to Retained earnings for $30,000.b. Credit to Retained revenue for $10,000.c. Debit come Paid-in resources from Treasury Stock because that $90,000.d. Credit to Paid-in capital from Treasury Stock because that $10,000.
Evergreen manufacturing Corporation purchase 4,000 shares of its own previously approve $10 par usual stock for $92,000. Together a an outcome of this event,a. Evergreen"s usual Stock account lessened $40,000.b. Evergreen"s complete stockholders" equity decreased $92,000.c. Evergreen"s Paid-in resources in excess of Par account diminished $52,000.d. Every one of the above.
Ramos Corporation sold 200 shares of treasury stock because that $45 every share. The cost for the shares was $35. The entry to document the revenue will include aa. Credit to get on sale of Treasury Stock because that $7,000.b. Credit transaction to Paid-in resources from Treasury Stock for $2,000.c. Debit come Paid-in resources in overabundance of Par for $2,000.d. Credit to Treasury Stock because that $9,000.
Accounting because that treasury stock is done by thea. FIFO method.b. LIFO method.c. Expense method.d. Lower of price or industry method.
Dividends in arrears on cumulative preferred stocka. Are thought about to it is in a non-current liability.b. Are considered to be a current liability.c. Only occur when wanted dividends have been declared.d. Need to be expose in the notes to the financial statements.
Common share Dividends Distributable is classified together a(n)a. Legacy account.b. Stockholders" equity account.c. Expense account.d. Liability account.
If a corporation declares a 10% share dividend ~ above its typical stock, the account to it is in debited ~ above the day of statements isa. Typical Stock dividend Distributable.b. Usual Stock.c. Paid-in funding in overabundance of Par.d. Kept Earnings.
Which one of the following events would not require a formal journal entry on a corporation"s books?a. 2 for 1 stock splitb. 100% share dividendc. 2% stock dividendd. $1 per share cash dividend
The declaration and distribution of a stock dividend willa. Increase total stockholders" equity.b. Increase total assets.c. Decrease full assets.d. Have actually no effect on total assets.
The following selected amounts are easily accessible for Clark Company. Retained earnings (beginning) $800 net loss 150 Cash dividends declared 100 stock dividends asserted 100What is its finishing retained income balance?a. $650b. $700c. $450d. $600
Vega Corporation"s December 31, 2013 balance sheet proved the following:8% wanted stock, $20 par value, cumulative, 15,000 share authorized; 10,000 shares issued $ 200,000Common stock, $10 par value, 1,000,000 share authorized; 975,000 shares issued, 960,000 shares impressive 9,750,000Paid-in resources in overfill of par—preferred stock 30,000Paid-in resources in excess of par—common stock 13,500,000Retained earnings 3,750,000Treasury stock (15,000 shares) 315,000Vega"s full paid-in funding wasa. $23,480,000.b. $23,795,000.c. $23,165,000.d. $13,530,000.
Adams Corporation began business through issuing 300,000 share of $5 par value typical stock for $24 per share. During its first year, the corporation continual a net loss of $30,000. The year-end balance sheet would certainly showa. Typical stock that $1,500,000.b. Common stock the $7,200,000.c. Full paid-in capital of $7,170,000.d. Total paid-in resources of $5,700,000.
The attempt balance of Houston Inc. Has the adhering to balances: common Stock, $28,000; Paid-in capital in excess of Par, $64,000; Treasury Stock, $6,000; desired Stock, $30,000. Legal capital totalsa. $58,000.b. $96,000.c. $122,000.d. $128,000.

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In the stockholders" equity ar of the balance sheet, legal capital consists ofa. Added paid-in capital and common stock.b. Usual stock and treasury stock.c. Common stock, preferred stock, and treasury stock.d. Typical stock and preferred stock.


Fundamental Financial bookkeeping Concepts10th EditionDanita Kelley, Gaile Moe, Gordon M Wardlaw, Jacqueline Berning