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Question
Victory Corporation issues 17,000 shares of its $2 par value common stock for $152,025 cash on February 20. What is the appropriate journal entry to record this transaction?
A.
| Cash | 152,025 | |
| Common Stock | 34,000 | |
| Paid-in Capital in Excess of Par, Common Stock |
118,025 |
B.
| Common Stock | 152,025 | |
| Cash | 152,025 |
C.
| Cash | 152,025 | |
| Common Stock | 34,000 | |
| Retained Earnings | 118,025 |
D.
| Cash | 152,025 | |
| Common Stock | 152,025 |
E.
| Cash | 118,025 | |
| Paid-In Capital in Excess of Par, Common Stock |
34,000 |
|
| Common Stock | 152,025 |
Answer
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