A company exchanged 500 shares of $2 par value common stock for $3,000 of legal services incurred during the company's organization. Which of the following is a correct statement? O credit to common stock in the amount of $2,000 O credit organizational costs in the amount of $3,000 O credit to paid-in-capital in excess of par value is $2,000 O debit to cash in the amount of $3,000

A company exchanged 500 shares of $2 par value common stock for $3,000 of legal services incurred during the company's organization. Which of the following is a correct statement? O credit to common stock in the amount of $2,000 O credit organizational costs in the amount of $3,000 O credit to paid-in-capital in excess of par value is $2,000 O debit to cash in the amount of $3,000

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter14: Corporation Accounting

Section: Chapter Questions

Problem 10MC: A company issued 40 shares of $1 par value common stock for $5,000. The journal entry to record the...

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