If a corporation issues 1,000 shares of $1 par value stock for $10 per share,then retained earnings will:
A) increase by $1,000.
B) increase by $9,000.
C) decrease by $9,000.
D) remain unchanged.

Name: If a corporation issues 1,000 shares of $1 par value stock for $10 per share,then retained earnings will: A) increase by $1,000. B) increase by $9,000. C) decrease by $9,000. D) remain unchanged.
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Question

Quizplus · Accepted Answer

Issuing new shares does not affect retained earnings.

If a Corporation Issues 1,000 Shares of $1 Par Value