18) Apple Inc. issued 4 million shares of no-par common stock for $4 million. What journal entry is prepared? A) debit Cash $4 million and credit Paid-in Capital in Excess of Par $4 million B) debit Cash $4 million and credit Retained Earnings $4 million C) debit Cash $4 million and credit Paid-in Capital in Excess of Stated Value $4 million D) debit Cash $4 million and credit Common Stock $4 million 19) Paltrowski Company issued 1 million shares of no-par common stock with a stated value of S9. The issue price was S40 per share. Which journal entry is prepared? A) debit Cash $40 million and credit Common Stock $40 million B) debit Cash $40 million, credit Common Stock $9 million and credit Paid-in Capital in Excess of Par- Common $31 milliorn C) debit Cash $40 million, credit Common Stock $9 million and credit Paid-in Capital in Excess of Stated Value Common $31 million D) debit Cash $40 million and credit Retained Earnings $40 million 20) Gruber Law Offices paid S57,000 to buy back 12,000 shares of its $1 par value common stock. The stock was sold later at a selling price of $13 per share. The journal entry to record the sale would include a: (Do not round intermediate calculations.) A) credit to Paid-in Capital from Treasury Stock Transactions $57,000. B) debit to Common Stock $57,000. C) credit to Paid-in Capital from Treasury Stock Transactions $99,000. D) credit to Common Stock $99,000 21) Reasons that a company would purchase treasury stock include all of the following EXCEPT A) management wants to avoid a takeover by an outside party B) it needs the stock for distribution to employees under stock purchase plans. C) it wants to increase net assets by buying its stock low and reselling it at a higher price. D) management wants to decrease earnings per share of common stock 22) Peter's Computers purchased 1000 shares of its own $3 par value common stock for $92,000. As a result of this transaction: A) Peters stockholders' equity increased $89,000. B) Peter's stockholders' equity increased $3000. C) Peter's stockholders' cquity decreased $92,000