When 1000 Shares of $3 Stated Value Common Stock Is

question 193

Multiple Choice

When 1000 shares of $3 stated value common stock is issued at $18 per share,________.

• A) Common Stock - $3 Stated is credited for $18,000
• B) the account titled Paid-In Capital in Excess of Stated-Common is used to record the issue price of the stock
• C) the difference between the issue price and the stated value is credited to Paid-In Capital in Excess of Stated-Common
• D) the accounting is exactly the same as the accounting for par value stock

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Definitions:

Principle Of Equivalence

The concept in decision theory that choices should be consistent when presented in different forms but representing the same problem.

Spatial

Related to, or existing in space; involving the perception, awareness, and manipulation of objects in a three-dimensional space.

Transformational

Related to a process of profound change in form, structure, or appearance, often used in contexts of transformational leadership or transformational grammar in linguistics.

Perceptual

pertaining to or involving the perception of the environment through the senses, including the process of recognizing, organizing, and interpreting sensory information.