14. Durant Kicks, LLC, a sneaker company, receives a $1.5 Million investment from an investor. Which of the following best describes the journal entry for Durant Kicks, LLC to record the transaction?

A. Debit Capital Stock; Credit Cash

B. Debit Cash; Credit Capital Stock

C. Debit Cash; Credit Loan

D. Debit Capital Stock; Credit Loan

E. None of the above

12. Which of the following is most likely to appear first on the balance sheet

A. Intangible Assets

B. Property, Plant, and Equipment,

C. Accounts Payable

D. Dividends

E. Accounts Receivable

7. Which of the following best represents the change in the accounting equation on January 5th from the following transaction? On January 5th , Smith Jewelers Co. receives $4,000 in cash for the sale of a watch costing $2,500. The customer is expected to receive the watch on January 8 th .

A. Total assets increase, total liabilities increase, and total owners equity increases

B. Total assets increase, total liabilities increase, and total owners equity has no change

C. Total assets increase, total liabilities have no change, and total owners equity increases

D. Total assets increase, total liabilities have no change, and total owners equity decreases

E. There is no change to the accounting equation