Nebraska Inc. issues 4,600 shares of common stock for $147,200. The stock has a stated value of $12 per share. The journal entry to record the stock issuance would include a credit to Common Stock for

The journal entry to record the stock issuance would include a credit to Common Stock for $55,200

Explanation:

For the recording of the stock issuance, the number of issue of shares should be multiplied with the stated value per share.

In mathematically,

Issuance stock = Number of issued shares of common stock * stated value per share

= 4,600 shares * $12 per share

= $55,200

The total amount of common stock which is given in the question is irrelevant for recording. So, it is not considered in the computation part.

Hence, The journal entry to record the stock issuance would include a credit to Common Stock for $55,200