Saltwell Industries received $11,500,000 for the issuance of its stock on May 14. The par value of the Saltwell stock was only $11,500. Was the excess amount of $11,488,500 a profit to Saltwell? If not, what was it? Suppose the par value of the Saltwell stock had been $2 per share, $4 per share, or $7 per share. Would a change in the par value of the company's stock affect Saltwell's total paid-in capital? Give the reason for your answer.
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Saltwell Industries received $11,500,000 for the issuance of its stock on May 14. The par value of t...
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