What would be recorded in the common stock account on the balance sheet if 20,000 shares are issued at a par value of $2 and the market value is $5?
A)$20,000
B)$40,000
C)$30,000
D)$60,000

Name: What would be recorded in the common stock account on the balance sheet if 20,000 shares are issued at a par value of $2 and the market value is $5? A)$20,000 B)$40,000 C)$30,000 D)$60,000
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Quizplus · Accepted Answer

The common stock account is recorded at par value, so 20,000 shares at $2 par value equals $40,000.

What Would Be Recorded in the Common Stock Account on the Balance