The Amount of Consideration Received in Pay- Ment of Stock

question 3

Multiple Choice

The amount of consideration received in pay- ment of stock in excess of the par value of the shares is referred to as

• A) capital surplus.
• B) stated capital.
• C) par value consideration.
• D) excess capital.

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Definitions:

Interest Rates

The percentage at which interest is paid by borrowers for the use of money that they borrow from a lender.

Investments

The act of allocating resources, usually money, with the expectation of generating an income or profit.

Order

The arrangement or sequence of objects or events, or a principle of arrangement; in mathematics, it often refers to the degree of a polynomial or differential equation.

Matrix

A rectangular array of numbers, symbols, or expressions, arranged in rows and columns, that is used in mathematics to represent and solve linear equations and perform other operations.