Ask Question
13 April, 17:49

The folowing information apples to the questions displayed bełow The financial statements for Highland Corporation included the folowing selected information: Common stock Retained earnings Net income Shares issued Shares outstanding Dividends declared and paid $1,600,000 $ 900,000 1,000,000 90,000 80,000 $ 800,000 The common stock was sold at a price of $30 per share.

Required: 1. What is the amount of additional paid-in capital?

+5
Answers (1)
  1. 13 April, 18:29
    0
    The amount of additional paid-in capital is $800,000

    Explanation:

    1. In order to calculate the amount of additional paid-in capital we would have to make the following calculation:

    additional paid-in capital=Total stock price-Common stock

    Total stock price=Shares outstanding*sold price common stock

    Total stock price=80,000*$30

    Total stock price=$2,400,000

    Therefore, additional paid-in capital=$2,400,000-$1,600,000

    additional paid-in capital=$800,000

    The amount of additional paid-in capital is $800,000
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “The folowing information apples to the questions displayed bełow The financial statements for Highland Corporation included the folowing ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers