What Is the Entry to Record Subscriptions Received for 1,700

question 124

Multiple Choice

What is the entry to record subscriptions received for 1,700 shares of $100 par value common stock at $130 per share?

• A)Debit Common Stock Subscribed $221,000; credit Cash $221,000
• B)Debit Subscriptions Receivable-Common Stock $221,000; credit Common Stock Subscribed $221,000
• C)Debit Subscriptions Receivable-Common Stock $221,000; credit Common Stock $221,000
• D)None of these answers are correct.

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Definitions:

Short-term Notes

Debt securities with shorter maturities, typically less than one year, used by companies to meet immediate financing needs.

Depreciation Calculations

Methods used to allocate the cost of a tangible asset over its useful life, reflecting its decrease in value.

Shareholder Reporting

The process of providing financial and operational information to a company's shareholders, typically on a quarterly and annual basis.

Financial Statements

Reports that provide an overview of a company's financial condition, including the balance sheet, income statement, and cash flow statement, at a particular point in time.