Which of the Following Is Included in the Entry to Record

question 7

Multiple Choice

Which of the following is included in the entry to record the issuance of 14,000 shares of $7 par value common stock at $21 per share for cash?

• A) Cash is debited for $294,000.
• B) Common Stock is debited for $98,000.
• C) Common Stock is credited for $294,000.
• D) Paid-In Capital in Excess of Par-Common is debited for $196,000.

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Definitions:

Expected to Be

A phrase indicating the anticipation or belief that something will occur or be the case in the future.

Market Rate of Return

The average rate of return expected by investors in a particular market, based on historical or anticipated investment performance.

Annual Dividend

The total dividend payments a company makes to its shareholders in a year, often expressed as a payment per share.

Market Rate of Return

The average rate of return of a specific market or investment over a certain period, reflecting the gains and losses in that market.