Two classifications appearing in the paid-in capital section of the balance sheet are
A) preferred stock and common stock.
B) paid-in capital and retained earnings.
C) capital stock and additional paid-in capital.
D) capital stock and treasury stock.

Question

Quizplus · Accepted Answer

Capital stock represents the par value of the company's stock, while additional paid-in capital is the amount shareholders paid for the stock above its par value.

Two Classifications Appearing in the Paid-In Capital Section of the Balance