When a Firm Issues 50,000 Shares with a Par Value

question 27

Multiple Choice

When a firm issues 50,000 shares with a par value of $5 and a market price of $22 per share,additional paid in capital will:

• A) decrease by $250,000.
• B) increase by $250,000.
• C) increase by $850,000.
• D) increase by $1,100,000.

---

Definitions:

Sudden Infant Death Syndrome

An unexplained event resulting in the death of an infant under one year of age, often during sleep.

Preoperational Children

Refers to the stage in Piaget's theory of cognitive development where children aged 2 to 7 years old begin to engage in symbolic play and struggle with logic and taking the perspective of others.

Cognitive Abilities

Mental skills that are part of the brain's processing functions, such as attention, memory, reasoning, problem-solving, and decision-making.

Cesarean Delivery

A surgical procedure used to deliver a baby through incisions in the abdomen and uterus.