Geraldine Parker,the Sole Stockholder of Gi Gi's Dance Studio,started the Business

question 63

Multiple Choice

Geraldine Parker,the sole stockholder of Gi Gi's Dance Studio,started the business by investing $10,000 cash and donating a building worth $20,000 in exchange for common stock.Identify the general journal entry below that Gi Gi's will make to record the transaction.

• A) \[\begin{array} { | l | r | l | }
• \hline \text { Cash } & 10,000 & \\
• \hline \text { Common Stock } & & 30,000 \\
• \hline
• \end{array}\]
• B) \[\begin{array} { | l | r | r | }
• \hline \text { Common Stock } & 30,000 & \\
• \hline \text { Cash } & & 10,000 \\
• \hline \text { Building } & & 20,000 \\
• \hline
• \end{array}\]
• C) \[\begin{array} { | l | r | r | }
• \hline \text { Cash } & 10,000 & \\
• \hline \text { Building } & 20,000 & \\
• \hline \text { Common Stock } & & 30,000 \\
• \hline
• \end{array}\]
• D) \[\begin{array} { | l | r | l | }
• \hline \text { Owner's Investments } & 30,000 & \\
• \hline \text { Common Stock } & & 30,000 \\
• \hline
• \end{array}\]
• E) \[\begin{array} { | l | r | l | }
• \hline \text { Cash \& Building } & 30,000 & \\
• \hline \text { Common Stock } & & 30,000 \\
• \hline
• \end{array}\]

---

Definitions:

Enforceable

Capable of being imposed or upheld by legal process or authority, ensuring compliance with laws, regulations, or agreements.

Laws

The system of rules that are created and enforced through social or governmental institutions to regulate behavior.

Underage Drinking

The consumption of alcoholic beverages by individuals below the legal age for alcohol consumption in their jurisdiction.

Ethical Behavior

Conduct that is consistent with the principles of morality, including honesty, fairness, equity, and integrity, in all professional and personal actions.