If 100 Million Shares of Common Stock Are Issued with a Par

question 14

Multiple Choice

If 100 million shares of common stock are issued with a par value of $2 and additional paid in capital is $800 million,the total par value of the issued shares is:

• A) $200 million.
• B) $600 million.
• C) $800 million.
• D) $1 billion.

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Definitions:

Environmental Risk

The potential for environmental damage or harm due to industrial operations, natural disasters, or human activities.

Raw Material Availability

The extent to which the necessary inputs for production processes are accessible or can be procured within the required timeframe.

Backward Integration

A business strategy where a company expands its role to fulfill tasks formerly completed by businesses up the supply chain, gaining control over suppliers or production.

Horizontal Integration

A strategy used by businesses to increase their market share by acquiring or merging with competitors operating at the same level of the supply chain.