Corporations can issue a variety of kinds or classes of stock. Most companies issue common stock. Some companies are also authorized to issue preferred stock. Information about the par value of each kind of stock and the number of shares authorized, issued, and outstanding can be found in the equity section of a corporation's balance sheet. The following definitions will help you with this activity. If the number of shares issued and outstanding are equal, it means that company has no treasury stock.

Instructions:

Using Appendix B in this textbook, go to the balance sheet for Costco Corporation on page B-6.

1. What kinds of stock is Costco authorized to sell?

2. What is the par value of each kind of stock?

3. How many shares of each kind of stock are authorized?

4. How many shares of preferred stock are issued as of September 3, 2006?

5. How many shares of common stock are issued as of September 3, 2006?

6. How many shares of common stock are outstanding as of September 3, 2006? 

7. How many shares of treasury stock does Costco hold?

Data from Appendix B page B-6.

Transcribed Image Text:

CURRENT ASSETS COSTCO WHOLESALE CORPORATION CONSOLIDATED BALANCE SHEETS (dollars in thousands, except par value) ASSETS September 3, 2006 August 28, 2005 Cash and cash equivalents. Short-term investments Receivables, net Merchandise inventories Deferred income taxes and other current assets Total current assets PROPERTY AND EQUIPMENT 4,568,723 $ 1,510,939 1,322,181 565,373 $ 2,062,585 1,397,272 529,150 4,014,699 264,866 234,295 8,232,082 8,238,001 Land 2,747,396 2,502,247 Buildings, leasehold and land improvements 6,241,357 5,622,439 Equipment and fixtures 2,405,229 2,181,740 Construction in progress 248,454 180,604 11,642,436 10,487,030 Less accumulated depreciation and amortization. (3,078,141) (2,696,838) Net property and equipment 8,564,295 7,790,192 OTHER ASSETS 698,693 637,012 $17,495,070 $16,665,205