Lerner Company Had the Following Transactions in 2015, Its First

Multiple Choice

Lerner Company had the following transactions in 2015, its first year of operations. • Issued 20,000 shares of common stock. Stock has par value of $1.00 per share and was issued at $14.00 per share.
• Issued 1,000 shares of $100 par value preferred stock. Shares were issued at par.
• Earned net income of $35,000.
• Paid no dividends.
At the end of 2015, what is the total amount of paid-in capital?

A) $415,000
B) $120,000
C) $280,000
D) $380,000