New Corp Issues 2,000 Shares of $10 Par Value Common Stock

question 29

Multiple Choice

New Corp. issues 2,000 shares of $10 par value common stock at $16 per share. When the transaction is recorded, credits are made to

• A) Common Stock $20,000 and Paid-in Capital in Excess of Stated Value $12,000.
• B) Common Stock $32,000.
• C) Common Stock $20,000 and Paid-in Capital in Excess of Par $12,000.
• D) Common Stock $20,000 and Retained Earnings $12,000.

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Definitions:

Affair

A romantic or sexual relationship, typically secret or illicit, between two individuals, usually where at least one is committed to another through marriage or partnership.

Cultural Folkway

Norms or customary behaviors that are characteristic of everyday life in a society, guiding social interactions without strict enforcement.

Sanction

A penalty for norm violation or a reward for norm adherence.

Culture Shock

A feeling of disorientation or discomfort experienced by someone who is suddenly subjected to an unfamiliar culture, way of life, or set of attitudes.