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Additional Paid-In Capital on the Balance Sheet

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Additional paid-in capital is most likely to appear on the balance sheet of a corporation that:
a) has par value stock
b) has no-par value stock
c) has issued stock at different dates
d) has issued stock dividends

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Solution Summary

This solution discusses the additional paid-in capital account on a balance sheet.

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The correct answer is a) has par value stock.

If a corporation issues stock with a par value, its Common Stock (or Preferred Stock) account will be increased by the par value of the shares issued and the Additional Paid-in Capital account will increase by the excess of the ...

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