1.The entry to record the issuance of 100 shares of common stock with no par value for $700 would include a debit to

Common Stock

Cash

Paid-In Capital

Accounts Receivable

2.5,000 shares of 8% Preferred Stock are issued with a par value of $50. The stock is sold for $100. The per share dividend rate is

$8

$4

$50

$100

3. When a company sells Treasury stock for more than it paid for it the cost of the stock is removed from the Treasury Stock account and

Paid-In Capital from Treasury Stock is credited

Cash is credited

Gain from the Sale of Treasury Stock is credited

Paid-In Capital from Treasury Stock is debited

Thank you, could I also get a brief explanation on why those are the corrects answers?