The Paid-in Capital in Excess of Par Value is increased in the accounting records when
A)the number of shares issued exceeds par value.
B)the stated value of capital stock is greater than the par value.
C)the market value of the stock rises above par value.
D)capital stock is issued at an amount greater than par value.

Question

Quizplus · Accepted Answer

Paid-in Capital in Excess of Par Value is increased when capital stock is issued at an amount greater than its par value, reflecting the additional amount paid by investors over the par value.

The Paid-In Capital in Excess of Par Value Is Increased