Squirt Company issued 5,000 common shares in exchange for a building. The building is fair valued for $255,000. The common shares trade actively at $50 per common share. What entry would Squirt make on its books to record the transaction?

Group of answer choices

a. Building 250,000 Loss on Common Share Issue 5,000 Common Shares 255,000

b. Building 255,000 Common Shares 255,000

c. Building 250,000 Common Shares 250,000

d. DR Building 255,000 CR Gain on Common Share Issue 5,000 CR Common Shares 250,0000

Preferred shares that give the shareholders the option of exchanging their preferred shares for common shares at a specified rate are known as:

Group of answer choices

a. Participating preferred shares.

b. Callable preferred shares.

c. Cumulative preferred shares.

d. Convertible preferred shares.

e. Noncumulative preferred shares.