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1,000 Shares of $30 Par Common Stock Was Exchanged for a Piece

Question 52

Multiple Choice

1,000 shares of $30 par common stock was exchanged for a piece of land with a fair market value of $30,000. The journal entry to record the transaction would include a:


A) credit to Land for $30,000.
B) credit to Common Stock for $15,000.
C) credit to Paid-In Capital in Excess of Par Value-Common for $15,000.
D) debit to Land for $30,000.

Correct Answer:

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