Astro, Co., recently organized. The company issued no-par common stock to an attorney in exchange for his

Question:

Astro, Co., recently organized. The company issued no-par common stock to an attorney in exchange for his patent with a market value of $53,000. In addition, Astro, Co., received cash for 4,000 shares of its $25 par preferred stock sold at par value and for 25,000 shares of its no-par common stock sold at $20 per share. Retained Earnings at the end of the first year was $88,000.

Requirement

1. Without making journal entries, determine the total paid-in capital created by these transactions.

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...