Paid-in capital-excess of par increase for transaction
Course:- Accounting Basics
Reference No.:- EM13149058

Assignment Help
Assignment Help >> Accounting Basics

Montgomery & Co., a well established law firm, provided 500 hours of its time to Fink Corporation in exchange for 1,000 shares of Fink's $5 par common stock. Mitchell's usual billing rate is $700 per hour, and Fink's stock has a book value of $250 per share. By what amount will Fink's Paid-in capital-excess of par increase for this transaction?

A. $345,000.

B. $295,000.

C. $350,000.

D. $300,000.

Put your comment

Ask Question & Get Answers from Experts
Browse some more (Accounting Basics) Materials
You have been hired as a consultant for XYZ Research Co. XYZ Research Co. incorporated in 2010. XYZ ‘s business centers on developing new technology for interplanetary explo
Determine the variable cost per haircut and the total monthly fixed costs. Compute the break-even point in units and dollars. Determine net income, assuming 1,900 haircuts are
Susan sweets is a 40 percent shareholder in acclaim inc. a theatrical supplies company. She transfers a fully depreciated car with a value of $2,000 to the corporation, dut
Prepare the manufacturing staffs calculations for the three alternatives:    In addition to reducing costs, the new technology proposed for the greenfield plant would increa
Golden Bear Construction Co. operates throughout California. The owner, Gaylan Beavers, employs 15 work crews. Construction supervisors report directly to Beavers, and the s
A, B and C are the members of All, LLC, a limited liability company that is treated as a partnership for federal income tax purposes. If the requested indemnities are given,
In December 2014, Rangers Inc. invested $100,000 of idle cash in U.S. Treasury notes. The notes mature on October 1, 2015, at which time Rangers expects to redeem them at fa
If you purchased a new model of a digital camera right after it is released, you will likely pay more than if you purchase it six months after release. Explain why this is a