Mountain Water Corp. issued common stock of $28,000 to pay off long-term notes payable of

$28,000.

In what section(s) would these transactions be recorded?

A.

Financing activities cash receipt, $28,000

B.

Financing activities payment of note, $(28,000)

C.

Non-cash investing and financing activities, $28,000

D.

Both a and b are correct.