Crain Company Issued 2,000 Shares of Its $5 Par Value

question 55

Multiple Choice

Crain Company issued 2,000 shares of its $5 par value common stock in payment of its attorney's bill of $30,000. The bill was for services performed in helping the company incorporate. Crain should record this transaction by debiting

• A) Legal Expense for $10,000.
• B) Legal Expense for $30,000.
• C) Organization Expense for $10,000.
• D) Organization Expense for $30,000.

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Definitions:

Drug Formulary

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