Two owners contribute $100,000 in cash and receive 4,000 shares of stocks in the business. What do you debit/credit?

To record the transaction where the two owners contribute $100,000 in cash and receive 4,000 shares of stock, you would need to make entries in the accounting records. Here's how you would debit and credit:

1. Debit the Cash account: Since the owners are contributing $100,000 in cash, you would debit the Cash account to reflect an increase in cash. The entry would be:
Cash $100,000
(Debit)

2. Credit the Capital Stock account: To reflect the issuance of the 4,000 shares of stock, you would credit the Capital Stock account. The entry would be:
Capital Stock $100,000
(Credit)

In this case, the Cash account is debited because the company receives cash, while the Capital Stock account is credited to indicate the issuance of shares to the owners.