The stockholders' equity section of Lumley Corporation at December 31 is as follows:

LUMLEY CORPORATION

Balance Sheet (partial)

Paid-in capital

Preferred stock, cumulative, 10,000 shares authorized, 6,000 shares issued and outstanding $ 600,000

Common stock, $2 par, 750,000 shares authorized, 500,000 shares issued 1,000,000

Paid-in capital in excess of par common 200,000

Total paid-in capital 1,800,000

Retained earnings 1,858,000

Total paid-in capital and retained earnings 3,658,000

Less: Treasury stock (12,000 common shares) 64,000

Total stockholders' equity $3,594,000

Instructions:

From a review of the stockholders' equity section, as chief accountant, write a memo to the president of the company answering the following questions.

How many shares of common stock are outstanding?