Authorized Shares are always greater than or equal to issued shares? 1. True 2. False

When issuing the following, which would never have a journal entry with a credit to paid in capital? 1. A par value stock 2. A stated value stock 3. A no-par value stock 4. 2 and 3 5. None of the above

A corporation issues 6,000 shares of $5 par value common stock for $8 cash per share. The entry to record this transaction includes: 1. A debit to Paid-In Capital in Excess of Par for $18,000 2. A credit to Common Stock for $48,000 3. A credit to Paid-In Capital in Excess of Par for $30,000 4. A credit to Cash for $48,000 5. A credit to Common Stock for $30,000

In its first year of operations a company received a $50,000 investment from its owner, had net income of $30,000 and paid dividends of $5,000. Its ending retained earnings balance would be: 1. $80,000 2. $75,000 3. $45,000 4. $25,000