Danley corporation began business by issuing 200,000 shares of $5 par value common stock for $24 per share. during its first year, the corporation sustained a net loss of $40,000. the year-end balance sheet would showa. common stock of $1,000,000.b. common stock of $4,800,000.c. total paid-in capital of $4,760,000.d. total paid-in capital of $3,800,000.

Common Stock of $1,000,000.

d. Total paid-in capital of $3,800,000.

Explanation:

When the company report a par value, the total common stock are valued at this par value, which is, $5 * 200.000 = $1.000.000

Rest of the capital it's reported as Paid in Capital = (24-5)*200.000 = $3.800.000, Total stockholders' equity $4.800.000.

The total net loss of $40.000 it's reported as retained earning (deficit) , so the net loss impact the total stockholders' equity but no the Common stock or the Paid in capital balance.

due to the changes the federal reserve is making the unused reserves will impact the economy by them facing inflation. inflation is definfed as the increase in pricing of a good or service but the decline of the value of money used for purchasing those items. when the economy has a high inflation rate, they are subject to money loss and hurt on the economy.