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Simora [160]
1 year ago
5

London corp. issued 1,000 shares of stock for $20 per share. what are the effects of this transaction?

Business
1 answer:
Anarel [89]1 year ago
8 0

Based on the fact that London Corp, issued 1,000 shares at $20 per share, the effects of this transaction are:

  • Increase in cash
  • Increase in common stock

<h3>What happens when stock is issued?</h3>

When stock is issued newly, the stock will be sold for cash which in this case is;

= 1,000 x 20

= $20,000

This means that cash in the company has increased.

Something else that will increase is the common stock. This is the account where the value of the issued stock will go to.

Find out more on stock issuance at brainly.com/question/25562729

#SPJ1

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The quantity of each item sold is multiplied by the sale price to determine the total revenue.

What is Quantity?

Quantity can be used to describe an amount, weight, number, or measure. A quantity is a property of a single item or group of items that may be measured in terms of "less," "equal," and "more."

The total of all inbound funds that the business has received from the sale of goods or services. Gross revenue is another name for total revenue.

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As a result, option (a) is correct total revenue.

Learn more about on quantity, here:

brainly.com/question/11183161

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