A company issues 80,000 shares of \$0.25 par value common stock for consulting services valued at \$50,000. How should the APIC be calculated?

• A. Divide the fair market value by the par value.
• B. Multiply the par value by the number of shares issued.
• C. Add the par value to the fair market value of services.
• D. Subtract the par value from the fair market value of services.

Answer: (D)