Contributed capital is shown on a corporate balance sheet as two amounts: the par value of the issued stock and additional paid-in capital.

Question

Quizplus · Accepted Answer

This is correct. Contributed capital consists of the par value of the issued stock (which is the legal capital) and any amount that investors pay above the par value (which is referred to as additional paid-in capital or capital in excess of par).

Contributed Capital Is Shown on a Corporate Balance Sheet as Two