Which of the following shows how acquiring cash from the issue of common stock will affect a company$$s financial statements? The letters $$NA$,$IA$$ and $$FA$$ indicate that the component of the equation is $$Not Affected$,$Investing Activities$$ and $$Financing Activities$$ respectively.

Balance sheet Income Statement Statement of Cash Flows

Assets $=$ Liabilities $+$ Equity Revenue $$ Expenses $=$ Net Income

A$.+=$ NA $++$ NA $$ NA $=$ NA NA

B$.+=$ NA $++$ NA $$ NA $=$ NA $+$ IA

C$.+=$ NA $++$ NA $$ NA $=$ NA $+$ FA

D$.+=$ NA $+++$ NA $=++$ FA

Multiple Choice

Option A

Option B

Option C

Option D