Exercise 15-10

For a recent 2-year period, the balance sheet of Pharoah Company showed the following stockholders equity data at December 31 (in millions).

		2017		2016
Additional paid-in capital		$ 930		$ 843
Common stock		651		642
Retained earnings		7,210		5,220
Treasury stock		1,850		945
Total stockholders equity		$6,941		$5,760
Common stock shares issued		217		214
Common stock shares authorized		500		500
Treasury stock shares		37		27

(a) Answer the following questions. (1) What is the par value of the common stock? (Round par value to 2 decimal places, e.g. $3.15.)

Par value of common stock

$

(2) What is the cost per share of treasury stock at December 31, 2017, and at December 31, 2016?

		December 31, 2017		December 31, 2016
Cost per share of Treasury stock		$		$

(b) Prepare the stockholders equity section at December 31, 2017. (Enter account name only and do not provide descriptive information.)

Pharoah Company Balance Sheet (in millions of dollars) (Partial)
			$
AddLess :
Total Stockholders' Equity			$