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Mena Company was established on January 1. The corporate charter authorized 1,000,000 shares of $10 par value common stock. During the first month of opration,
Mena Company was established on January 1. The corporate charter authorized 1,000,000 shares of $10 par value common stock. During the first month of opration, the corporation issued 400 shares to its attorneys in payment of a $7,000 charge for drawing up the articles of incorporation. The entry to record this transaction would include: A. A debit to Organization Expenses for $6.000. B.A debit to Paid-in Capital in Excess of Par Value Common Stock for $3,000 CA credit to Paid in Capitalin Excess of Par Value. Common Stock for $4,000. D.A credit to Common Stock for $4,000. Use the following company information to calculate net cash provided or used by investing activities: (1) Equipment with a book value of $87,500 and an original cost of $150.000 was sold at a loss of $8,500. (2) Paid $31,000 cash for a new truck. (3) Sold land costing $16,000 for $18,000 cash, realizing a $2,000 gain. (4) Purchased treasury stock for $30,500 cash. (5) Long-term investments in stock are sold for $20,500 cash, realizing a gain of $1,750
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