Irish Corporation issued (sold) 10,000 shares of its no-par common stock for $70 per share. The bylaws established a stated value of $10 per share. The transaction would increase the common stock account on the balance sheet by how much?

A. $0.

B. $600,000.

C. $100,000.

D. $700,000.

Increase in the common stock account = $100,000

Explanation:

Increase in the common stock account = Number of shares*stated value per share

Since the bylaws established a stated value of $10 per share, and the total number of shares issued is 10,000

Increase in the common stock account = 10,000*$10

Increase in the common stock account = $100,000

Therefore the transaction would increase the common stock account on the balance sheet by $100,000.

C) $100,000