Shell product decided to raise additional financing by issuing common stock. The company received OMR6400 in exchange for OMR 1500 shares of OMR 1 par value common stock. By what amount should the additional paid-in capital account increase as a result of this transaction?
Shell product decided to raise additional financing by issuing common stock. The company received OMR6400 in exchange for OMR 1500 shares of OMR 1 par value common stock. By what amount should the additional paid-in capital account increase as a result of this transaction?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
![Shell product decided to raise
additional financing by issuing
common stock. The company
received OMR6400 in exchange for
OMR 1500 shares of OMR 1 par
value common stock. By what
amount should the additional paid-in
capital account increase as a result
of this transaction?
Select one:
a. OMR7900
O b. None of the options
c. OMR3000
O d. OMR4900](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fcd4c2f2d-f6cb-4539-9392-20d8cc8e2b3b%2F063abf80-82e8-46c0-a3ac-f74bd69dc74e%2F8mliu6b_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Shell product decided to raise
additional financing by issuing
common stock. The company
received OMR6400 in exchange for
OMR 1500 shares of OMR 1 par
value common stock. By what
amount should the additional paid-in
capital account increase as a result
of this transaction?
Select one:
a. OMR7900
O b. None of the options
c. OMR3000
O d. OMR4900
![Small Corp. repurchases shares from
a shareholder for OMR3000.Three
months later, the shareholder buys
the same shares back at OMR
3200.As a result of this transaction
Additional paid in capital should be:
Select one:
a. Debt by OMR200
O b. Debt by 1500
c. Credit by OMR200
O d. Credit by 4500](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fcd4c2f2d-f6cb-4539-9392-20d8cc8e2b3b%2F063abf80-82e8-46c0-a3ac-f74bd69dc74e%2F81lso1_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Small Corp. repurchases shares from
a shareholder for OMR3000.Three
months later, the shareholder buys
the same shares back at OMR
3200.As a result of this transaction
Additional paid in capital should be:
Select one:
a. Debt by OMR200
O b. Debt by 1500
c. Credit by OMR200
O d. Credit by 4500
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