France Corporation was organized on January 1, 2020. It is authorized to issue 10,000 shares of 8%, $100 par value preferred stock, and 500,000 shares of no-par common stock with a stated value of $2 per share, On Apr. 1 Issued 24,000 shares of common stock for land. The asking price of the land was $90,000. The fair market value of the land was $85,000; the journal entry is:

Select one:

a. Debit land $90,000 and credit common stock $90,000.

b. Debit land $85,000 and credit common stock $85,000.

c. Debit land $90,000, credit common stock $48,000 and credit paid in capital in excess of stated value $42,000.

d. Debit land $85,000, credit common stock $48,000 and credit paid in capital in excess of stated value $37,000.

Question

France Corporation was organized on January 1, 2020. It is authorized to issue 10,000 shares of 8%, $100 par value preferred stock, and 500,000 shares of no-par common stock with a stated value of $2 per share, On Apr. 1 Issued 24,000 shares of common stock for land. The asking price of the land was $90,000. The fair market value of the land was $85,000; the journal entry is:

Select one:

a. Debit land $90,000 and credit common stock $90,000.

b. Debit land $85,000 and credit common stock $85,000.

c. Debit land $90,000, credit common stock $48,000 and credit paid in capital in excess of stated value $42,000.

d. Debit land $85,000, credit common stock $48,000 and credit paid in capital in excess of stated value $37,000.

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France Corporation was organized on January 1, 2020. It is authorized to issue 10,000 shares of 8%, $100 par value preferred stock, and 500,000 shares

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