John contributed $6,000 to the business by opening a bank account in the name of the business, United Marketing. The corporation issued common stock to John. This transaction results in an increase in the assets of the business.

Question

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When John opens a bank account in the name of the business and contributes $6,000 to it, it results in an increase in the assets of the business. Since the corporation issued common stock to John, it means he has become a shareholder in the business, but this does not affect the fact that the assets of the business have increased.

John Contributed $6,000 to the Business by Opening a Bank