If a company issues 2,500 shares of common stock at a market price of $48 per share, which of the following is the correct balance sheet effect?

Select one:

A.Increase cash by $120,000 and increase contributed capital by $120,000

B.Increase cash by $120,000 and increase earned capital by $120,000

C.Increase stock revenues by $120,000

D.Stock issuances are not reported on the balance sheet

E.None of the above