Mayfair Corporation was organized on October 1, 2020. Mayfair Corporation received a total of $250,000 from the owners on that date. The following entry should be recorded: Group of answer choices a)A debit to cash for $250,000 and a credit to revenue for $250,000. b)A credit to cash for $250,000 and a debit to retained earnings for $250,000. c)A credit to cash for $250,000 and a debit to contributed capital for $250,000. d)A debit to cash for $250,000 and a credit to dividends payable for $250,000. e)None of the above
Mayfair Corporation was organized on October 1, 2020. Mayfair Corporation received a total of $250,000 from the owners on that date. The following entry should be recorded: Group of answer choices a)A debit to cash for $250,000 and a credit to revenue for $250,000. b)A credit to cash for $250,000 and a debit to retained earnings for $250,000. c)A credit to cash for $250,000 and a debit to contributed capital for $250,000. d)A debit to cash for $250,000 and a credit to dividends payable for $250,000. e)None of the above
Chapter20: Corporations And Parterships
Section: Chapter Questions
Problem 40P
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Question
Mayfair Corporation was organized on October 1, 2020. Mayfair Corporation received a total of $250,000 from the owners on that date. The following entry should be recorded:
Group of answer choices
a)A debit to cash for $250,000 and a credit to revenue for $250,000.
b)A credit to cash for $250,000 and a debit to retained earnings for $250,000.
c)A credit to cash for $250,000 and a debit to contributed capital for $250,000.
d)A debit to cash for $250,000 and a credit to dividends payable for $250,000.
e)None of the above
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ISBN:
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Author:
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Publisher:
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