When a plant asset is acquired by issuance of common stock, the cost of the plant asset is properly measured by the book value of the stock. market price of the stock. stated value of the stock. par value of the stock.

Respuesta :

When a plant asset is acquired by issuance of common stock, the cost of the plant asset is properly measured by market price of the stock.

What is common stock?

Common stock is a type of stock, issued to those who have majority of shares in a company.

The reason is that the total cost of the plant is divided by the stated value of the stock, and then the resultant number of common stock.

Hence, when a plant asset is acquired by issuance of common stock, the cost of the plant asset is properly measured by stated market price of the stock.

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