Lerner Company Had the Following Transactions in 2013, Its First

question 102

Multiple Choice

Lerner Company had the following transactions in 2013, its first year of operations.

• Issued 20,000 shares of common stock. Stock has par value of $1.00 per share and was issued at $14.00
Per share.
• Issued 1,000 shares of $100 par value preferred stock. Shares were issued at par.
• Earned net income of $35,000.
• Paid no dividends.

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At the end of 2013, what is the total amount of Paid-in capital?

• A) $415,000
• B) $120,000
• C) $280,000
• D) $380,000

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Definitions:

Antisocial Personality Disorder

A disorder where an individual exhibits a long-term pattern of manipulating, exploiting, or violating the rights of others, often criminal in nature.

Paranoid Personality Disorder

A type of mental disorder characterized by pervasive distrust and suspicion of others' motives, leading to significant social and interpersonal problems.

Distrust

The feeling of suspicion or mistrust towards someone or something, often based on past experiences or perceptions.

Odd Personality Disorders

A cluster of personality disorders characterized by eccentric behaviors, thinking, or appearances, often alienating these individuals from others.