Willis Corporation issued 500,000 shares of $0.50 par value capital stock at its date of incorporation for cash at a price of $2.50 per share. During the first year of operations, the company earned $180,000 and declared a dividend of $45,000. At the end of this first year of operations, the balance of the Common Stock account will equal: Group of answer choices $1,385,000. $1,250, 000. $250,000. $1,272,500.
Willis Corporation issued 500,000 shares of $0.50 par value capital stock at its date of incorporation for cash at a price of $2.50 per share. During the first year of operations, the company earned $180,000 and declared a dividend of $45,000. At the end of this first year of operations, the balance of the Common Stock account will equal: Group of answer choices $1,385,000. $1,250, 000. $250,000. $1,272,500.
Chapter14: Corporation Accounting
Section: Chapter Questions
Problem 10MC: A company issued 40 shares of $1 par value common stock for $5,000. The journal entry to record the...
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![Willis Corporation issued 500,000 shares of $0.50 par value capital stock at its date of incorporation for cash at a price of
$2.50 per share. During the first year of operations, the company earned $180,000 and declared a dividend of $45,000.
At the end of this first year of operations, the balance of the Common Stock account will equal: Group of answer choices
$1,385,000. $1,250,000. $250,000. $1,272,500.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb8642e14-9317-4706-8b2f-9b030839e1d9%2F45132c4c-627f-46a6-aff3-74ffd2c0b4c1%2F520byd9_processed.png&w=3840&q=75)
Transcribed Image Text:Willis Corporation issued 500,000 shares of $0.50 par value capital stock at its date of incorporation for cash at a price of
$2.50 per share. During the first year of operations, the company earned $180,000 and declared a dividend of $45,000.
At the end of this first year of operations, the balance of the Common Stock account will equal: Group of answer choices
$1,385,000. $1,250,000. $250,000. $1,272,500.
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