Rosata Corporation has 2,000 shares of common stock outstanding. Howard owns 600 shares, Howard's grandfather owns 300

Question:

Rosata has 2,000 shares of outstanding. Howard owns 600 shares, Howard's grandfather owns 300 shares, Howard's mother owns 300 shares, and Howard's son owns 100 shares. In addition, Maroon owns 500 shares. Howard owns 70% of the stock of Maroon.
a. Applying the stock attribution rules, how many shares does Howard own in Rosata?
b. Assume that Howard owns only 40% of the stock in Maroon. How many shares does Howard own, directly and indirectly, in Rosata?
c. Assume the same facts as in part (a) above, but in addition, Howard owns a 25% interest in the Yellow Partnership. Yellow owns 200 shares in Silver. How many shares does Howard own, directly and indirectly, in Rosata?
Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...