Question
The authorized share capital of the Alfred Cake Company is 120,000 shares. The equity is currently shown in the company's books as follows: Common stock
The authorized share capital of the Alfred Cake Company is 120,000 shares. The equity is currently shown in the company's books as follows:
Common stock ($1 par value) $74,000 Additional paid-in capital24,000 Retained earnings44,000 Common equity$142,000 Treasury stock (1,000 shares)18,000 Net common equity$124,000
a.How many shares are issued?
b.How many shares are outstanding?
c.How many more shares can be issued without the approval of shareholders?
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Financial Management Principles and Application
Authors: Arthur J. Keown, J. William Petty, David F. Scott, Jr.
10th edition
536514119, 536514110, 978-0536514110
