Par value gives the accountant a constant amount at which to record capital stock issuances in the capital stock accounts. Lastly, you'd credit Capital Stock and APIC while debiting Retained Earnings to balance out the equity section.The paidin capital formula is the sum of the par value of common stock and the additional paidin capital (APIC). Upon issuance, common stock is generally recorded at its fair value, which is typically the amount of proceeds received. Contributed capital is the total value of cash and other assets that shareholders provide to a company in exchange for ownership shares.