S. Lawyer performed legal services for E. Corp. Due to a cash shortage, an agreement was reached whereby E. Corp. would pay S. Lawyer a legal fee of approximately $15,000 by issuing 8,000 shares of its common stock (par $1). The stock trades on a daily basis and the market price of the stock on the day the debt was settled is $1.80 per share. Given this information, the best journal entry for E. Corp. to record for this transaction isa. Legal Expense 14,400Common Stock 14,400b. Legal Expense 15,000Common Stock 15,000c. Legal Expense 15,000Common Stock 8,000Paid-in Capital in Excess of Par - Common 7,000d. Legal Expense 14,400Common Stock 8,000Paid-in Capital in Excess of Par - Common 6,400
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “S. Lawyer performed legal services for E. Corp. Due to a cash shortage, an agreement was reached whereby E. Corp. would pay S. Lawyer a ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
A red sleeveless dress has been a fast seller at a clothing store. Which of these might raise the price of the dress? A. A change in fashion season, requiring the store to put the dress out of stock B.
Answers (2)
Which of the following statements regarding a tax sheltered annuity (tsa) is incorrect? the income from the tsa is received income tax-free the amount contributed is deductible from taxable income the interest earnings are tax deferred a
Answers (1)
If you had an irregular income, how would you set up a cash flow plan that would work?
Answers (1)
A corporation can be charged with any crime, provided an employee of the company has acted (wrongly) within the scope of their employment. True False
Answers (1)
1. All of the following would be classified as manufacturing overhead except the: A) wages of supervisor of the machining shop. B) depreciation of the equipment in the machining shop.
Answers (1)
New Questions in Business
The culture of UPS places service to the customer among the company's highest business objectives, which is reflected in their use of information systems to enable customer tracking of their packages.
Answers (1)
Employers bond employees who handle cash receipts because fidelity bonds reduce the possibility of employing dishonest individuals and Deter dishonesty by making employees aware that insurance companies may investigate and prosecute dishonest acts.
Answers (1)
1. A complaint of sexual harassment by a part-time worker in a hardware business was upheld when the Tribunal found that the employer had failed to take sufficient action in relation to the employee's report of inappropriate behaviour.
Answers (1)
Suppose that the government sets a price floor for milk that is above the competitive equilibrium price With the price floor, consumers are willing to purchase the quantity indicated where the price floor intersects the With the price floor, the
Answers (1)
Choose the best revision of the previous sentence. Because many executives have access to company jets boards of directors have a responsibility to ensure that shareholders are not footing the bill for personal travel.
Answers (1)