Question
Sosa Co.'s stockholders' equity at January 1, 2010 is as follows: Common stock, $10 par value; authorized 300,000 shares; Outstanding 225,000 shares $2,250,000 Paid-in capital
Sosa Co.'s stockholders' equity at January 1, 2010 is as follows:
Common stock, $10 par value; authorized 300,000 shares; Outstanding 225,000 shares $2,250,000
Paid-in capital in excess of par 900,000
Retained earnings 2,190,000
Total $5,340,000
During 2010, Sosa had the following stock transactions:
Acquired 6,000 shares of its stock for $270,000.
Sold 3,600 treasury shares at $50 a share.
Sold the remaining treasury shares at $41 per share. No other stock transactions occurred during 2010.
Assuming Sosa uses the cost method to record treasury stock transactions, the total amount of all additional paid-in capital accounts at December 31, 2010 is
Answer: 908,400 (Please show the calculations)
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