When stock traded on an active exchange is issued for a machine:

When stock traded on an active exchange is issued for a machine: 




A. No entry is recorded until restrictions are lifted.
B. An asset is recorded for the fair value of the stock.
C. An asset is recorded for the appraised value of the machine.
D. Paid-in capital is increased by the appraised value of the machine.




Answer: B


Learn More :