If Lantz Company issues 10,000 shares of $5 par value common stock for $210,000, the account
A)Common Stock will be credited for $50,000.
B)Paid-in Capital in Excess of Par Value will be credited for $50,000.
C)Paid-in Capital in Excess of Par Value will be credited for $210,000.
D)Cash will be debited for $160,000.

Question

Quizplus · Accepted Answer

The Common Stock account is credited for the par value of the shares issued, which is 10,000 shares x $5 par value = $50,000.

If Lantz Company Issues 10,000 Shares of $5 Par Value