Osbourne Company Issued 50,000 Shares of Common Stock in Exchange

question 48

True/False

Osbourne Company issued 50,000 shares of common stock in exchange for manufacturing equipment. The equipment was valued at $1,000,000. The stock has par value of $0.01 per share. Osbourne should record a gain on the sale of stock for the difference between the equipment's market value and the stock's current market value.

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Definitions:

Ambitious

Having a strong desire for success or achievement often requiring determination and hard work.

Anger

A strong feeling of annoyance, displeasure, or hostility.

Type A Individuals

Personality types characterized by high levels of competitiveness, self-motivation, urgency, and a strong tendency toward stress and impatience.

Stress

The body's method of reacting to a challenge or demand, often leading to physical or emotional tension.