Ropers, Inc. purchases 16,000 shares of its previously issued $2 par value common stock for $460 per share. Which of the following is the correct journal entry to record this transaction?
A) Debit Common Stock-$2 Par Value $7,360,000, and credit Cash $7,360,000.
B) Debit Cash $7,328,000, and credit Paid-In Capital in Excess of Par-Common $7,328,000.
C) Debit Cash $7,328,000, and credit Treasury Stock-Common $7,328,000.
D) Debit Treasury Stock-Common $7,360,000, and credit Cash $7,360,000.
D .D) 16,000 x $460 = $7,360,000
Business
You might also like to view...
What were two results of the Smoot-Hawley Act?
What will be an ideal response?
Business
Quotas should not be used unless:
A. they are short-term in nature B. the employer is a federal contractor. C. ordered by a court to remedy a longstanding violation of the law. D. they are communicated to all applicants as a part of the initial contact with the employer.
Business