a company issued 110 shares of $100 par - value common stock for $13,000 cash. the total amount of paid - in…

a company issued 110 shares of $100 par - value common stock for $13,000 cash. the total amount of paid - in capital in excess of par is: multiple choice $100. $1,100. $2,000.

a company issued 110 shares of $100 par - value common stock for $13,000 cash. the total amount of paid - in capital in excess of par is: multiple choice $100. $1,100. $2,000.

Answer

Explanation:

Step1: Calculate par - value of issued shares

The par - value of each share is $100 and 110 shares are issued. So the par - value of issued shares is $100\times110 = 11000$.

Step2: Calculate paid - in capital in excess of par

The company received $13000 in cash for the shares. Paid - in capital in excess of par is the amount received minus the par - value of the shares. So it is $13000−11000 = 2000$.

Answer:

$2000$