The ending balance in Additional Paid-In Capital would be:
A)$0
B)$187,500
C)$312,500
D)$125,000

Name: The ending balance in Additional Paid-In Capital would be: A)$0 B)$187,500 C)$312,500 D)$125,000
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Question

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The additional paid-in capital balance will increase by the total amount of common stock sold during the year ($250,000), less the par value of the shares issued ($62,500). Therefore, the ending balance in Additional Paid-In Capital will be $187,500 ($125,000 + $62,500).

The Ending Balance in Additional Paid-In Capital Would Be