Question

Danielle Corporation received $2,000,000 from investors and issued them shares of its stock. Danielle's journal entry to record this transaction would include a: a. Credit to revenue. b. Debit to investments. c. Credit to common stock. d. Credit to retained earnings.

Answer 1

Answer:

c. Credit to common stock.

Explanation:

Usually it's the credit to common stock in an amount equal to the par times stocks issued with the rest credited to Paid-in capital in excess of par.