On January 12, Year 1, Gilliam Corporation Issued 550 Shares

Multiple Choice

On January 12, Year 1, Gilliam Corporation issued 550 shares of $12 par-value common stock for $15 per share. The number of shares authorized is 5,000, and the number of shares outstanding prior to this transaction is 1,200. Which of the following answers describes the effect of the January 12, Year 1 transaction?

A) Choice A
B) Choice B
C) Choice C
D) Choice D