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  • 01-12-2020
  • Geography
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Paid-in capital is also called "earned capital

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  • 01-12-2020

Answer:

Earned capital is not the same as paid-in capital. Paid-in capital is the amount of funds paid into the company by investors (above the par value, or stated value, of the stock). Thus, earned capital comes from profits, and paid in capital comes from investors.

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