A corporation issued 320 shares of its $5 par value common stock in payment of a $4000 charge from its accountant for assistance in filing its charter with the state. The entry to record this transaction will include:
A. A $4000 debit to Legal Expenses.
B. A $1600 debit to Organization Expenses.
C. A $4000 credit to Cash.
D. A $2400 credit to Paid-in Capital in Excess of Par Value, Common Stock.
E. A $4000 credit to Common Stock.
Answer: D
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A. precedent B. executive orders C. procedural administrative law D. stare decisis
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What will be an ideal response?
Heather and Genice agree that Genice can satisfy her debt to Heather by paying the money directly to Fava (to whom Heather owes a debt). The designation of this contract as a third party beneficiary contract is determined by the intent to benefit
A. all of the parties. B. Heather only. C. Genice only. D. Fava only.