Simon Company Issued 4,000 Shares of Its $5 Par Value

question 110

Multiple Choice

Simon Company issued 4,000 shares of its $5 par value common stock in payment of its attorney's bill of $35,000. The bill was for services performed in helping the company incorporate. Simon should record this transaction by debiting

• A) Legal Expense for $20,000.
• B) Legal Expense for $35,000.
• C) Organization Expense for $20,000.
• D) Organization Expense for $35,000.

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Definitions:

30th Wedding Anniversary

A significant milestone celebrating thirty years of marriage, often symbolized by pearls.

Married Couples

Two individuals who have entered into a legally recognized partnership, often involving a public commitment ceremony.

Divorced

The legal dissolution of a marriage by a court or other competent body, officially ending the marital relationship.

Approximately

An adverb describing an estimate or a value that is close to but not exactly the specified amount.