Please Refer to the Following Information for Peartree Company

question 53

Multiple Choice

Please refer to the following information for Peartree Company: If Peartree resold 1,000 shares of treasury stock for $24 per share, what journal entry would be required?

• A)Debit Treasury stock $24,000 and credit Cash $24,000.
• B)Debit Treasury stock $20,000, debit Paid-in capital $2,000 and credit Cash $24,000.
• C)Debit Cash $24,000 and credit Treasury stock $24,000.
• D)Debit Cash $24,000, credit Treasury stock $20,000 and credit Paid-in capital $4,000.

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Definitions:

Trochanter

A large, bony prominence found on the femur, serving as a major attachment point for muscles.

Fossa

A depression or hollow, often found in bones or in the body, serving various purposes like accommodating muscles or organs.

Sinus

A cavity within a bone or other tissue, most commonly found in the nose and respiratory system.

Chondrocostal

Pertaining to the cartilage connected to the ribs, often used in the context of the chest structure and related conditions.