Mcqs no need for explanation

1) Which of the following represents the number of shares acquired from the market (repurchased)? *

Treasury shares

Issued shares

Outstanding shares

Authorized shares

2) If stock is issued for a noncash asset, the asset should be recorded on the books of the corporation at *

Fair market value

Cost

Asking price

A nominal amount

3) A company issued 2,000 shares of its $1 par value common stock to acquire land with an asking price of $50,000 valued at $40,000. When recording this transaction, the company will *

Debit Land for $50,000

Credit Common Stock for $40,000

Credit Land for $40,000

Credit Paid-In Capital in Excess of Par Value for $38,000

4) A company issued 5,000 shares common stock at a stated value of $10 per share. The total issue of stock sold for $15 per share. The journal entry to record this transaction would include a *

Debit to Cash for $50,000

Credit to Common Stock for $50,000

Credit to Paid-in Capital in Excess of Par Value for $25,000

Credit to Common Stock for $75,000

5) A company issues 10,000 shares of $100 par value preferred stock for cash at $110 per share. The entry to record the transaction will consist of a debit to Cash for $1,100,000 and a credit(s) of *

Preferred Stock for $1,100,000

Paid-in Capital from Preferred Stock for $1,100,000

Preferred Stock for $1,000,000 and Retained Earnings for $100,000

Preferred Stock for $1,000,000 and Paid-in Capital in Excess of Par ValuePreferred Stock for $100,000.