061950 c Secure l httpmypennfostercomStudentLMSPFXExamsRan

061950 -) c ? Secure l http://my.pennfoster.com/StudentLMSPFXExams/Randomau.. ? ,? . If you want to flag a question for later review, select the \"Mark for review\" button You must answer all questions before you can submit the exam for grading To see a list of the questions you have answered (or still need to answer), click \"Revi My Answers\" . You can exit the exam at any point by clicking \"Save & Exit\" Your work will be saved but your answers will not be submitted for grading. You can return to the exam at a lat date to complete and submit it for grading Question 14 of 20 : Select the best answer for the question. 14. Eagle Ridge, Inc. issued 40 shares of $20 par valde stock to its accountant in full payment for her $900 fee for assisting in setting up the new company The entry for the issuance of the stock is a OA. credit to Common Stock for $800 OB. debit to Paid-in Capital in Excess of Par-Common for $100 O C. debit to Common Stock for $800 D. credit to Common Stock for S900 Mark for review (Will be highlighted on the review page) Previous Questiorn Next Question Review My Answers Save & Exit

Solution

Journal Entry Account titles & Explanations Debit Credit orgainzation expense 900 common stock (40*20) 800 paid in capital in excess of par 100 hence correct option is a) credit to Common Stock for $800