A company issued 60 shares of $100 par value common stock for $7,000 cash.The total amount of paid-in capital in excess of par is:
A)$100.
B)$600.
C)$1,000.
D)$6,000.
E)$7,000.

Question

Quizplus · Accepted Answer

The paid-in capital in excess of par is calculated as the difference between the cash received ($7,000) and the par value of the shares issued (60 shares x $100 = $6,000), which is $1,000.

A Company Issued 60 Shares of $100 Par Value Common