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Question 40 Maercker Company has 130,000 shares authorized and 10,000 shares issued of $10 par value common stock. On January 1, 2016, the company issues
Question 40
Maercker Company has 130,000 shares authorized and 10,000 shares issued of $10 par value common stock. On January 1, 2016, the company issues an additional 2,000 shares of common stock in exchange for a building, which has a market value of $300,000. The journal entry to record the exchange will cause Total Paid-In Capital to:
| A. | Increase by $20,000 | |
| B. | Increase by $100,000 | |
| C. | Increase by $180,000 | |
| D. | Increase by $300,000 |
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