a . When stock is sold at a price above its par value, what amount is credited

Question:

a. When stock is sold at a price above its par value, what amount is credited to the capital stock account?

b. What is the classification of the Paid-in Capital in Excess of Par account? What is its normal balance?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Glencoe Accounting First Year Course

ISBN: 9780078688294

1st Edition

Authors: Andrée Vary

See More Books

Question Posted: Jun 14, 2022 08:34 AM

See More Questions

When employees are paid, what amount is credited to Cash in Bank?
Question 4 [7 marks] Part a) (3 marks) Calculate the statistic, set up the rejection region, draw the sampling distribution and interpret the result, Ho: H: Given that: -10, n-100, X-10, a-0.05. -10...
What account is credited when manufacturing overhead is allocated to jobs during the period? What account is debited when manufacturing overhead costs are incurred during the period? Would you expect...
Run experiments to determine the relative costs of Math.exp() and the methods from EXERCISE 1.3.38 for computing e x : the direct method with nested for loops, the improvement with a single for loop,...
Competitive Provision of Health Insurance: Consider the challenge of providing health insurance to a population with different probabilities of getting sick. A. Suppose that, as in our car insurance...
Harvey Company produces two models of blenders: the Super Model (priced at $400) and the Special Model (priced at $200). Recently, Harvey has been losing market share with its Special Model because...
Assume that in a digital communication channel, the number of bits received in error can be modeled by a binomial random variable, and assume that the probability that a bit is received in error is...
A TiW layer is deposited on a substrate using a sputtering tool. Table 6E.14 contains layer thickness measurements (in angstroms) on 20 subgroups of four substrates. (a) Setup x and R control charts...
Find the average value fave of the function f on the given interval. f(x) = x (x3+10) 2' [-1, 1] fave = | X
Friendly Grocer has three departments in its store: beverages, dairy and meats, and canned and pack-aged foods. Each department is headed by a departmental manager. Operating results for the last...
When 10,000 shares of $10 par-value common stock are issued at $14 per share, Paid-In Capital in Excess of Par, Common Stock is credited for a.$140,000. b. $40,000. c. $100,000. d. None of the above
During its first year of operation, Longhorn Corporation issued 17,500 shares of $10 par common stock. At the end of the year, the corporation had a net income of $350,000. The board of directors...
Graph. y 5
What legal purpose is served by the right of self-defence? What is its legal basis? When may a state lawfully exercise this right?
Company Que is a publicly listed company and plans to issue additional equity to investors to finance one of its company's projects. The new issuance of security is known as
Mallory is very excited as she has just found the perfect condo! She feels confident that the bank will provide her with a mortgage as she received a pre-approval certificate. Mallory has worked hard...
How do the different types of financing available to healthcare organizations, such as debt financing, equity financing, and government funding, impact the overall financial stability and long-term...
1. For each of the two scenarios below, please answer the following questions: (50 points, 25 points for scenario; see details for each question). a) The founders' equity holdings (i.e., percentage...
Suppose f (x) = 25 - 0.6x. a. Draw a graph of this function. b. What is f (7)? c. Identify the point (7, f (7)) by marking it on your graph. d. Find the value of x when f (x) = 27.4. Mark this point...
Rewrite the code of Figure 7.3 in Ada, Java, or C#. Figure 7.3: template class queue { item items [max_items]; int next_free, next_full, num_items; public: queue () : next_free (0), next_full(0),...
During the current year, Helen donates stock worth $50,000 to her local community college. Two years ago the stock cost Helen $40,000. Her AGI for the current year is $100,000. Beginning next year,...
During the current year, Melissa reports AGI of $200,000. As part of some estate planning, she donates $30,000 to her alma mater, Middle State University, and $65,000 to a private non-operating...
Circle Corporation, an accrual method taxpayer, manufactures and sells mainframe computers. In January of the current year, Circle Corporation donates a mainframe that was part of its inventory to...
Solve: 1. With an annual interest rate of 4%, an account earned $300 of simple interest in one year. How much money was originally deposited in the account? 2. If an investment of $2,500 accumulate...
For Amazon, their biggest business/product is actually a B2B business unit called AWS, Amazon Web Services. Have you ever heard of "the cloud?" AWS is Amazon's cloud service offering for businesses....
What is the basic customer need provided by Dunkin' Donuts (DD)? What is the key marketing situation faced by DD? What is DD's main strength (consumer view)? What is DD's main weakness (consumer...

a . When stock is sold at a price above its par value, what amount is credited

Question:

Step by Step Answer:

1 The account used for the proceeds greater than par value is called Additional PaidInCapital The common stock account is credited for the amount of p...View the full answer

Glencoe Accounting First Year Course

Students also viewed these Business questions