Question $1(1$ point$)$

Valor Company issued $5,000$ shares of $$1$ par common stock for $$30$ per ihare, providing the company with $$150,000$ in cash. What effect, ie addition to the increase in cask, does this tranuction have on the accounting equation for Valor?

Common Stock increases $$5,000$; Gain on Sale of Common Sack increases $$145,000.$

Common Stock increases $35,000$ ; Retained Earnings increases $$145,300.$

Common Stock increases $$150,000.$

Common Slock increases $$5,000,$ Additional Paid$-$in Capital $-$ Comsoe increases $$145,000.$