Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The following information comes from a balance sheet at December 31, 2015: Common Stock, $1 par, 1,000,000 shares authorized $160,000 Paid-in Capital in Excess of

The following information comes from a balance sheet at December 31, 2015:

Common Stock, $1 par, 1,000,000 shares authorized $160,000
Paid-in Capital in Excess of Par--Common Stock 120,000
Total Capital Stock 280,000
Retained Earnings 80,000
Less: Treasury Stock (4,000 common shares at cost) (40,000)
Total Stockholders' Equity $320,000

Answer the following questions: A) How many shares of common stock are issued? shares ____________ B) How many shares of common stock are outstanding? shares __________________ C) Assuming that all shares were sold at the same price, what was the original selling price per share? $ per share ______________________ D) If the company declares a 2-for-1 stock split on December 31, 2015, describe the resulting change, if any, in the balances in capital stock accounts and the par value of the common stock. ____________________________

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The ISO 14000 EMS Audit Handbook

Authors: Greg Johnson

1st Edition

1574440691, 978-1574440690

More Books

Students also viewed these Accounting questions

Question

4. Choose appropriate and powerful language

Answered: 1 week ago

Question

2. Choose an appropriate organizational pattern for your speech

Answered: 1 week ago