The folowing information apples to the questions displayed bełow The financial statements for Highland Corporation included the folowing selected information: Common stock Retained earnings Net income Shares issued Shares outstanding Dividends declared and paid $1,600,000 $ 900,000 1,000,000 90,000 80,000 $ 800,000 The common stock was sold at a price of $30 per share.

Required: 1. What is the amount of additional paid-in capital?

The amount of additional paid-in capital is $800,000

Explanation:

1. In order to calculate the amount of additional paid-in capital we would have to make the following calculation:

additional paid-in capital=Total stock price-Common stock

Total stock price=Shares outstanding*sold price common stock

Total stock price=80,000*$30

Total stock price=$2,400,000

Therefore, additional paid-in capital=$2,400,000-$1,600,000

additional paid-in capital=$800,000

The amount of additional paid-in capital is $800,000