Please Refer to the Following Information for Petra Sales Company

question 13

Multiple Choice

Please refer to the following information for Petra Sales Company: If Petra Sales purchases an additional 5,000 shares of treasury stock at $14 per share, what journal entry is required?

• A)Debit Cash $70,000 and credit Treasury stock $70,000.
• B)Debit Treasury stock $70,000 and credit Cash $70,000.
• C)Debit Treasury stock $70,000 and credit Sales revenue $70,000.
• D)Debit Treasury stock $60,000, debit Paid-in capital $10,000 and credit Cash $70,000.

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Definitions:

Variables

Elements, characteristics, or features that can change or vary in a research or experimental setting, influencing or reflecting the outcomes.

Correlation

A statistical measure that indicates the extent to which two or more variables fluctuate together, showing the strength and direction of a relationship.

Toes

The digits of the foot in humans and other animals, involved in locomotion and balance.

Shoes

Footwear designed to protect and comfort the human foot while doing various activities, also serving as an item of decoration or fashion.