Last month, Flavio Inc. and Octavio Corp. each issued 12,500 shares of common stock in exchange for Cash. After their respective stock issues, Flavio debited Cash for $243,750, while Octavio debited Cash for $265,625. All of the shares issued by Flavio had a par value of $4 per share, while all of the shares issued by Octavio had a par value of $5 per share. Given this information, which of the following statements is accurate? Select answer from the options below

 Flavio's debit to Paid-in Capital in Excess of Par—Common Stock was $34,375 less than Octavio's. 

Flavio's credit to Paid-in Capital in Excess of Par—Common Stock was $9,375 less than Octavio's. 

Flavio's debit to Paid-in Capital in Excess of Par—Common Stock was $9,375 less than Octavio's. 

Flavio's credit to Paid-in Capital in Excess of Par—Common Stock was $34,375 less than Octavio's.

Answer rating: 100% (QA)

To determine which of the statements is accurate we need to calculate the debit to Paidin Capital in ... View the full answer