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Murton Industries Murton Industries, Inc. Reported the Following Information on Its Recent

Question 74

Multiple Choice

Murton Industries
Murton Industries, Inc. reported the following information on its recent balance sheet.
Common stock, $10 par, 100,000 shares authorized, 75,000 shares issued and outstanding
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Refer to the information for Murton Industries. What is the effect on Murton's accounting equation of issuing 1,000 additional shares of common stock at $15 per share?


A) Assets increase $15,000, liabilities increase $5,000, and equity increases $10,000
B) Assets increase $15,000, liabilities remain unaffected, and equity increases $15,000
C) Assets decrease $10,000, liabilities remain unaffected, and equity increases $10,000
D) Assets decrease $15,000, liabilities decrease $5,000, and equity decrease $10,000

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