The total amount of carbon fixed into organic matter through photosynthesis (or chemosynthesis) in a given unit of time is known
1 answer:
You might be interested in
Answer: The answer is provided below
Explanation:
a. The reconstructed journal entry has been prepared and attached.
b. The following are the effects it has on the investing section or the financing section of the statement of cash flows.
The first transaction will lead to a cash inflow of $8,000 from the investing activities.
The second transaction is non-cash transaction therefore, it will not be reported in either the financing or the investing activities.
The third transaction will lead to a cash inflow of $2,000 from the financing activities.
The fourth transaction will lead to a cash outflow from the financing activities.
Thw diagram has been attached.
Answer:
(A) Credit Additional Paid in Capital $9,600
Explanation:
As provided earlier, shares of own company were acquired, at a premium, which creates a treasury account with the amount of purchase back of shares.
This is because of the amount paid towards purchase that is for the amount received on purchase.
Further when shares are resold the paid in capital account is credited,
Additional capital to be credited = $11 - $3 = $8 per share
$8 1,200 shares = $9,600
With this amount the balance of additional capital will increase, and thus this account will be credited.
If there is any reversal to treasury stock it will be treasury stock account debit, thus option b) and option d) are completely invalid.
Further cash received = $11 1,200 = $13,200 and not $25,200
Therefore option c) is also invalid.
Therefore, Correct option is
(A) Credit Additional Paid in Capital $9,600