Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. a company gives common stock to a supplier in retu

A company gives common stock to a supplier in return for inventory. Which of the...

90.2K

Verified Solution

Question

Accounting

A company gives common stock to a supplier in return for inventory. Which of the following journal entries accurately reflects this transaction?

No journal entry necessary because cash was not paid for the inventory.

Debit Inventory and credit Stockholders' Equity

Debit Stockholders' Equity and credit Inventory

Debit Inventory and credit Accounts Payable

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Biology
1.2K views

When compared to five year averages the dead zone in the Gulf of Mexico is...

Medical Sciences
1.2K views

As a result of an experiment following measurements were obtained from a cell: intracellular Na+ concentration of...

Physics
1.2K views

SIMPLE PENDULUM 1. What are the factors affecting the period of a simple pendulum? 1.1. What must you...

Basic Math
1.2K views

Reminder: You obtain a positive test result for HIV. There is no reason to believe that...

Biology
1.2K views

Approximately 3 5 million years ago the Isthmus of Panama formed This new landmass severed...

Calculus
1.2K views

F x 3x 2 for x 3 for x 3 OA X Choose the correct...

Accounting
1.2K views

Requirement 2. Buxton Ltd.'s lenders require that the company maintain a debt ratio...

Accounting
1.2K views

Franklin Corporation has three operating departments (Fabricating, Assembly, and Finishing) and two service departments (Custodial...

Accounting
1.2K views

An employee receives a bonus of $10,000.00 paid separately from her regular earnings. Calculate the...

Accounting
1.2K views

Mohan lists his apartment on AirBnB for an average of $250 per night. He spent...

Accounting
1.2K views

A firm sells two products, A and B. For every unit of A the firm...

Accounting
1.2K views

Ome characteristic of plant assets is that they are: Current assets. Used in operations. Natural...