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Carter Company began business on January 1, 2022 and immediately issued 500,000 shares of its $5 par value common stock for $12,500,000. At the end
Carter Company began business on January 1, 2022 and immediately issued 500,000 shares of its $5 par value common stock for $12,500,000. At the end of the year it paid $200,000 in cash dividends. In midyear, the firm bought back some of its own shares. The company reports the following additional information at December 31, 2022: Net income $2,000,000 Retained earnings beginning of year $0 Common shares authorized 5,000,000 Shares outstanding at year end 450,000 a) How much is the Additional Paid-in Capital account at the end of the year? b) What was the original issuance price per share of the common stock? c) Determine the retained earnings amount at the end of the year. d) How many shares of stock are in the treasury at the end of the year? Note that the answer to this question should not be shown in dollars. Remember to make all calculations clear. It is highly recommended that you use Excel for this and let Excel do the calculations
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