Apple IncIssued 1 Million Shares of No-Par Common Stock for $10

question 14

Multiple Choice

Apple Inc.issued 1 million shares of no-par common stock for $10 million.What journal entry is prepared?

• A)debit Cash $10 million and credit Paid-in Capital in Excess of Par $10 million
• B)debit Cash $10 million and credit Retained Earnings $10 million
• C)debit Cash $10 million and credit Paid-in Capital in Excess of Stated Value $10 million
• D)debit Cash $10 million and credit Common Stock $10 million

Learn how to assess and make decisions on whether to process further or sell products at the split-off point.

Understand how to perform break-even and profitability analysis under different pricing and cost scenarios.

Grasp the concept of the economic value to the customer and how this impacts pricing strategies.

Understand how target costing is used to manage product costs and pricing strategies effectively.

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Definitions:

Entrepreneurship

The act of starting, developing, and managing a business venture along with its risks in order to make a profit and innovate.

Launch

The initiation or start of a project, product, or service.

Economic Independence

The state of having sufficient personal wealth to live, without having to work actively for basic necessities.

Entrepreneurship

The activity of setting up a business or businesses, taking on financial risks in the hope of profit.