A corporation issued 2,500 shares of its no par common stock at a cash price of $11 per share. The entry to record this transaction would be:

A. Debit Cash $27,500; credit Common Stock $27,500.
B. Debit Treasury Stock $27,500; credit Cash $27,500.
C. Debit Cash $27,500; credit Paid-in Capital in Excess of Par Value, Common Stock $2,500; credit Common Stock $25,000.
D. Debit Common Stock $27,500; credit Cash $27,500.
E. Debit Treasury Stock $2,500; debit Paid-in Capital in Excess of Par Value, Treasury Stock $25,000; credit Common Stock $27,500.


Answer: A

Business

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