What Does Paid In Capital Mean?

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What does Paid In Capital mean? Read on to discover the definition & meaning of the term Paid In Capital - to help you better understand the language used in insurance policies.

Paid In Capital

Paid In Capital

Capital acquired by a corporation from sources other than its business operations. The most common source of paid-in capital is the sale of the corporation's own common and preferred stock. The amount of paid-in capital becomes part of the stockholders' equity shown in a balance sheet.

We hope the you have a better understanding of the meaning of Paid In Capital.

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