Vega Corporation's December 31, 2015 balance sheet showed the following: 8% preferred stock, $20 par value, cumulative, 15,000 shares $\begin{array}{lr}\text { authorized; } 10,000 \text { shares issued }&\$200,000\
\text { Common stock, } \$ 10 \text { par value, } 1,000,000 \text { shares authorized; }\
975,000 \text { shares issued, } 960,000 \text { shares outstanding }&9,750,000\
\text { Paid-in capital in excess of par-preferred stock } & 30,000 \
\text { Paid-in capital in excess of par-common stock } & 11,500,000 \
\text { Retained earnings } & 3,750,000 \
\text { Treasury stock (15.000 shares) } & 315,000
\end{array}$ Vega's total paid-in capital was

Question

Quizplus · Accepted Answer

Total paid-in capital is the sum of the par value of preferred and common stock, plus any paid-in capital in excess of par. This is calculated as follows: $200,000 (preferred stock) + $9,750,000 (common stock) + $30,000 (excess preferred) + $11,500,000 (excess common) = $21,480,000.

Vega Corporation's December 31, 2015 Balance Sheet Showed the Following