An Owner Makes an Investment of Cash into the Business

question 152

Multiple Choice

An owner makes an investment of cash into the business. This transaction would include a:

• A) debit to Common Stock and a credit to Common Stock.
• B) debit to Cash and a credit to Common Stock.
• C) debit to Retained Earnings and a credit to Cash.
• D) debit to Common Stock and a credit to Retained Earnings.

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Definitions:

Referent Power

The influence one has over others because they respect, admire, or like the individual.

Organizational Learning

The process by which organizations acquire, improve, and manage knowledge to better adapt and succeed.

Institutionalizing

The process of embedding practices, norms, and values within an organization to make them stable and enduring.

Influencing

The act or process of affecting the behavior, attitudes, or decision-making of others through persuasion or authority.