Question
Parrot Corporation began operations in January of the current year. The charter authorized the following stock: Preferred stock: 3.0 percent, $1 par value, 900,000 shares
Parrot Corporation began operations in January of the current year. The charter authorized the following stock:
Preferred stock: 3.0 percent, $1 par value, 900,000 shares authorized
Common stock: $0.01 par value, 1,260,000 shares authorized
During the current year, the following transactions occurred in the order given:
a. Issued 25,500 shares of common stock for $7.60 per share.
b. Sold 44,000 shares of the preferred stock at $5.00 per share.
c. Sold 21,000 shares of the preferred stock at $5.40 per share and 30,000 shares of common stock at $9.00 per share.
d. Repurchased 37,750 shares of the previously issued common shares at $13.90 per share.
e. Resold 5,000 of the shares of the repurchased stock at $16.25 per share.
f. Resold (P} of the shares of the repurchased stock at $12.95 per share.
What is the net amount of the increase to preferred stock on the firm's Balance Sheet from the total of these transactions?
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