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The authorized share capital of the Alfred Cake Company is 120,000 shares. The equity is currently shown in the companys 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 companys books as follows:
Common stock ($2 par value) $78,000
Additional paid-in capital 28,000
Retained earnings 48,000
Common equity $154,000
Treasury stock (5,000 shares) 22,000
Net common equity $132,000
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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