A Company Issued 60 Shares of $100 Par Value Common

question 173

Multiple Choice

A company issued 60 shares of $100 par value common stock for $7,000 cash. The total amount of paid-in capital is:

• A) $600.
• B) $100.
• C) $6,000.
• D) $7,000.
• E) $1,000.

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Definitions:

Laissez-Faire

An economic theory advocating minimal government intervention in the affairs of private businesses and individuals.

Moralizing

The act of expressing or teaching moral values, often involving making judgments about what is right or wrong behavior and imposing these standards on others.

Punishment

A consequence applied with the intention of reducing or eliminating an unwanted behavior, often employed in legal and educational contexts.

Deontological Theory

An ethical theory that emphasizes duty, rules, and the inherent rightness or wrongness of actions, regardless of the consequences.