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11 October, 05:35

Hadley Corporation issued 200,000 shares of $5 par value common stock for $25 per share. During that year, the corporation sustained a net loss of $40,000. The year-end balance sheet would show A : total paid-in capital of $4,600,000. B : total paid-in capital of $5,400,000. C : common stock of $5,000,000. D : common stock of $1,000,000.

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  1. 11 October, 05:45
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    D : common stock of $1,000,000

    Explanation:

    Hadley Corporation

    Issued shares * par value common stock

    Issued shares 200,000

    Par value common stock $5

    Hence:

    200,000 x $5

    = $1,000,000

    Therefore the year-end balance sheet would show a common stock. of $1,000,000
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