Question
ABC Company has the following beginning balances in its stockholders' equity accounts on January 1, 2021: Common Stock ($2 par value), $1,000; Additional Paid-in Capital,
ABC Company has the following beginning balances in its stockholders' equity accounts on January 1, 2021: Common Stock ($2 par value), $1,000; Additional Paid-in Capital, $3,900; Retained Earnings. $27,000; Total Stockholders' equity, $31,900. ABC Company has the following transactions affecting stockholders' equity in 2021: May 19 Issues 250 additional shares of $2 par value common stock for $15 per share. May 31 Purchases 50 shares of treasury stock for $45 per share. July 1 Declares a cash dividend of $2 per share to all stockholders of record on July 15. Hint: Dividends are not paid on treasury stock. July 31 Pays the cash dividend declared on July 1. August 10 Resells 30 shares of treasury stock purchased on May 31 for $52 per share. December 31 Net income for the year ended December 31, 2021, is $700. Required: How many shares of common stock have been issued in total? O 750 01250 O 700 O 1200 What is the balance of Retained Earnings on December 31, 2021? $26,300 $25,300 O $25,200 $27,300 What is the (debit) balance of the Treasury Stock account on December 31, 2021? O $900 O $690 $1,040 O $2,250 What is the balance of Additional Paid-in Capital on December 31, 2021? $7,360 O $6,940 $7,440 O $4,610 Required: How many shares of common stock have been issued in total? 750 O 1250 O 700 O 1200 What is the balance of Retained Earnings on December 31, 2021? $26,300 $25,300 $25,200 O $27,300 What is the (debit) balance of the Treasury Stock account on December 31, 2021? O $900 O $690 O $1,040 O $2,250 What is the balance of Additional Paid-in Capital on December 31, 2021? $7,360 $6,940 O $7,440 O $4,610 How is the number of outstanding shares on December 31, 2021? 0730 01,230 O230 1,020
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