Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Analyzing and Computing Issue Price, Treasury Stock Cost, and Shares Outstanding Following is the stockholders' equity section of the Merck & Co., Inc., balance

image text in transcribedimage text in transcribed

Analyzing and Computing Issue Price, Treasury Stock Cost, and Shares Outstanding Following is the stockholders' equity section of the Merck & Co., Inc., balance sheet. Merck & Co., Inc. Stockholders' Equity ($ millions) Dec. 31,2014 Dec. 31,2013 Common stock, $0.50 par value Authorized-6,500,000,000 shares Issued-3,789,541,216 shares in 2014 and 2013 $1,895 $1,895 Other paid-in capital 42,569 42,787 Retained earnings 46,021 39,257 Accumulated other comprehensive loss (4,323) (2,197) 86,162 81,742 Less treasury stock, at cost: 741,659,837 shares in 2014 and 649,576,808 shares in 2013 38,258 34,895 Total Merck & Co., Inc. stockholders' equity $47,904 $46,847 a. Explain the derivation of the $1,895 million in the common stock account. Complete the calculation of total amount of shares. Enter share amounts in millions ($3,000,000 = $3). Round share amounts to the nearest whole number. 0 million shares X $ 0 = 0 million b. Using December 31, 2014 balances, at what average issue price were the Merck common shares issued? Round answer to two decimal places. $ 0 c. At what average cost was the Merck treasury stock as of December 31, 2014? Round answer to two decimal places. $ 0 d. How many common shares are outstanding as of December 31, 2014? Enter full number - do not convert to millions or round answer. 0 shares

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting Creating Value in a Dynamic Business Environment

Authors: Ronald Hilton, David Platt

10th edition

78025664, 978-0078025662

More Books

Students also viewed these Accounting questions