On February 2, Year 1, the Farmer Corporation issued 9,000 shares of no-par stock for $17 per share. The next day, the stock's price jumped on the New York Stock Exchange to $21 per share. Which of the following answers describes the effect of the February 2, Year 1 transaction? Assets=Liab.+Com. Stk.Rev.?Exp.=Net Inc.Cash FlowA.153,000=NA+153,000NA?NA=NA153,000 FAB.189,000=NA+189,000NA?NA=NA189,000 IAC.153,000=NA+153,000NA?NA=NA153,000 IAD.189,000=NA+189,000NA?NA=NA189,000 FA

A. Choice A
B. Choice B
C. Choice C
D. Choice D


Answer: A

Business

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