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When Stock Is Issued for Services or Property Other Than

Question 24

Multiple Choice

When stock is issued for services or property other than cash, the general rule applied is


A) either the fair market value of the stock issued or of the non-cash consideration received, whichever is more clearly determinable.
B) the fair market value of the non-cash consideration.
C) the fair market value of stock issued.
D) the net realizable value of the non-cash consideration.
E) a negotiated value that fairly presents the current market value of the goods exchanged.

Correct Answer:

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