A: $1,200 debit to Cash.
B: $500 debit to Additional Paid-in Capital.
C: $1,200 credit to Common Stock.
D: $1,700 credit to Common Stock.
举一反三
- A company issued 20,000 shares of its $1 par value ordinary stock for cash. The price is $10 per share. The entry to record this transaction would be: A: Debit Cash $200,000; credit Ordinary Stock $20,000; credit Share Premium, Ordinary Stock $180,000. B: Debit Cash for $200,000; credit Ordinary Stock $200,000 C: Debit Ordinary Stock $20,000; debit Share Premium, Ordinary Stock $180,000; credit Cash $200,000. D: Debit Ordinary Stock $20,000; credit Cash $20,000.
- Company A issued 2,500 shares of its no par ordinary stock for cash. The price is $10 per share. The entry to record this transaction would be: A: Debit Cash $25,000; credit Share Premium in Excess of Par Value $25,000. B: Debit Cash $25,000; credit Ordinary Stock $25,000. C: Debit Ordinary Stock $25,000; credit Cash $25,000. D: Debit Treasury Stock $25,000; credit Cash $25,000.
- A corporation issued 6,000 shares of its $1 par value ordinary stock in exchange for land that has a market value of $84,000. The entry to record this transaction would include: A: A debit to Ordinary Stock for $6,000. B: A debit to Land for $6,000. C: A credit to Land for $84,000. D: A credit to Share Premium, Ordinary Stock for $78,000.
- A company receives £500 of cash as an additional investment in the company by its owner, Mary Smith. The company's Cash account is increased and Mary Smith, Capital is increased. Should the £500 entry to the Cash account and to Mary Smith, Capital be a debit or a credit, respectively? A: a debit; a debit B: a debit; a credit C: a credit; a debit D: a credit; a credit
- Guanghai Co. was organized on January 1, 2012 and issued 200 000 shares of common stock on that date. On July 1, an additional 100 000 shares were issued for cash. Net income for the year was 600 000 yuan. Net earnings per share amounted to A: 3.00 yuan. B: 2.50 yuan. C: 2.40 yuan. D: 2.00 yuan.
内容
- 0
Caprice Corporation was organized on January 1 and issued 500,000 shares of common stock on that date. On July 1, an additional 200,000 shares were issued for cash. Net income for the year was $1,440,000. Net earnings per share amounted to A: $2.88. B: $2.50. C: $2.06. D: $2.40.
- 1
The basic component of paid-in capital is common stock.
- 2
Matthew Company purchases a trading security for $12,000 cash. The journal entry to record this transaction will include a: A: debit to the Investment in Trading Securities account and a credit to Cash. B: debit to Cash and a credit to the Investment in Trading Securities account. C: debit to Long-term Investment and credit Cash. D: debit to Dividend Revenue and credit to Cash.
- 3
Company A’s net profit last year was 2.5 million ￥, 1 million shares of common shares in circulation, 500,000 shares of preferred shares, and a dividend of 1 ￥ per share. If the price of common stock A: 15 B: 12 C: 18 D: 22
- 4
If the intrinsic value of a share of common stock is less than its market value, which of the following is the most reasonable conclusion? A: The stock has a low level of risk. B: The stock offers a high dividend payout ratio. C: The market is undervaluing the stock. D: The market is overvaluing the stock.