Question 10

1. Plasti-Pak Plastics has the following stockholders' equity accounts and amounts before paying dividends: Paid-in Capital $ 75,000 Retained Earnings 25,000 Total $100,000 Deduct: Treasury Stock 10,000 Total Stockholders' Equity $ 90,000 Assuming that Plasti-Pak Plastics is restricted from declaring dividends that would cause stockholders' equity to be less than total paid-in capital, what is the maximum amount of dividends Plasti-Pak Plastics's board could declare?

   		$70,000
   		$15,000
   		$65,000
   		$25,000
   		$10,000