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On December 2, 2018, Ewell Company purchases a piece of land from the original owner. In payment for the land, Ewell Company issues 8,000 shares
On December 2, 2018, Ewell Company purchases a piece of land from the original owner. In payment for the land, Ewell Company issues 8,000 shares of common stock with $1.00 par value. The land has been appraised at a market value of $400,000. The journal entry to record this transaction would include which of the following items? A. Debit Common stock $8,000 and debit Paid-in capital in Excess of Par $392,000. B. Credit Common stock $8,000 and credit Paid-in capital in Excess of Par $392.000. C. Credit Common stock $400,000. D. Debit Cash $400,000
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