When a Corporation Issues Capital Stock at a Price Higher

question 107

Multiple Choice

When a corporation issues capital stock at a price higher than the par value:

• A)The amount received over par value increases retained earnings.
• B)The entire issue price is credited to the Capital Stock account.
• C)The amount received in excess of par value constitutes profit to the issuing corporation.
• D)The amount received in excess of par value becomes part of paid-in capital.

---

Definitions:

Apical Pulse

The pulse measured at the apex of the heart, typically listened to with a stethoscope at the chest wall, used to assess heart function.

Electrocardiogram

A medical test that measures the electrical activity of the heart to identify different heart conditions.

Caffeine

A stimulant found in coffee, tea, and various other plants, known for its ability to temporarily ward off drowsiness and restore alertness.

Hemodynamic Changes

Alterations in the blood flow or blood pressure within the circulatory system.