C&S Corporation issued 2,000 shares of its $7 par value common stock for $12 per share. What amount would they record as additional paid-in capital in excess of par-common?

Question

Quizplus · Accepted Answer

The additional paid-in capital in excess of par is calculated as the difference between the issue price and the par value, multiplied by the number of shares. Here, ($12 - $7) * 2,000 shares = $10,000.

C&S Corporation Issued 2,000 Shares of Its $7 Par Value