Shown below is information relating to the shareholders' equity of Grant Corporation at December 31, 2009:
$\begin{array}{lr}
\text { $ 6 \% $ non-cumulative preference share, $ \$ 100 $ par, 10,000 shares authorized,}&\$600,000\
\text { 6,000 shares issued}\
\
\text { Ordinary shares, $ \$ 3 $ par, 500,000 shares authorized, 300,000 shares issued and }&\$900,000\
\text { outstanding}\
\text { Share premium: preference share } & \$ 60,000 \
\text { Share premium: ordinary share } & \$ 1,900,000 \
\text { Retained earnings } & \$ 1,090,000
\end{array}$
Dividends have been declared and paid for 2009.

-Refer to the above data. The total amount of Grant's paid-in capital at December 31, 2009, is:

Question

Shown below is information relating to the shareholders' equity of Grant Corporation at December 31, 2009:
$\begin{array}{lr}
\text { $ 6 \% $ non-cumulative preference share, $ \$ 100 $ par, 10,000 shares authorized,}&\$600,000\
\text {  6,000 shares issued}\
\
\text { Ordinary shares, $ \$ 3 $ par, 500,000 shares authorized, 300,000 shares issued and }&\$900,000\
\text { outstanding}\
\text { Share premium: preference share } & \$ 60,000 \
\text { Share premium: ordinary share } & \$ 1,900,000 \
\text { Retained earnings } & \$ 1,090,000
\end{array}$
Dividends have been declared and paid for 2009.

-Refer to the above data. The total amount of Grant's paid-in capital at December 31, 2009, is:

Quizplus · Accepted Answer

Paid-in capital consists of common stock and additional paid-in capital. The common stock of Grant's is $500,000 and the additional paid-in capital is $2,960,000, making the total paid-in capital $3,460,000. Therefore, the correct answer is C.

Shown Below Is Information Relating to the Shareholders' Equity of Grant