You have been asked to audit Greystone Company. During the course of your audit, you are asked to prepare comparative data from the companys inception to the present. You have determined the following:

(a) Greystone Companys charter became effective on January 2, 2011, when 2,000 of no-par common and 1,000 shares of 7% cumulative, nonparticipating, preferred stock were issued. The no-par common stock had no stated value and was sold at $120 per share, and the preferred stock was sold at its par value of $100 per share.

(b) Greystone was unable to pay preferred dividends at the end of its first year. The owners of the preferred stock agreed to accept two shares of common stock for every 50 shares of preferred stock owned in discharge of the preferred dividends due on December 31, 2011. The shares were issued on January 2, 2012. The fair market value was $100 per share for common on the date of issue.

(c) Greystone Company acquired all of the outstanding stock of Booth Corporation on May 1, 2013, in exchange for 1,000 of Greystone common stock.

(d) Greystone split its common stock 3 for 2 on January 1, 2014, and 2 for 1 on January 1, 2015.

(e) Greystone offered to convert 20% of the preferred stock to common stock on the basis of two shares of common for one share of preferred. The offer was accepted, and the conversion was made on July 1, 2015.

(f) No cash dividends were declared on common stock until December 31, 2013. Cash dividends per share of common stock were declared as follows:

Instructions: Compute the following:

1. The number of shares of each class of stock outstanding on the last day of each year from 2011 through 2015.

2. Total cash dividends applicable to common stock for each year from 2013 through 2015.

Check Figure: 2015 Dividends Applicable to Common Stock = $23,300

June 30 Dec. 31 $3.19 2013 $1.75 2014 2.75 2015 1.25 1.25 Computation of number of shares: Shares outstanding Net Change Common Preferred Jan. 2, 2011 Dec. 31, 2011 Jan. 2, 2012 Common issued to preferred shareholders Common Dec. 31, 2012 May 1, 2013 Acquisition of Booth Corporation Comme On Dec. 31, 2013 Jan. 1, 2014. 3:2 Common split Common Dec. 31, 2014 Jan 1, 2015 2:1 Common split July 1, 2015 Conversion of preferred Common Common Preferred Dec. 31, 2015 Year Computation of Common Stock Dividends Total 2011-2012 $0 shares x 2013 $3.19 2014 $4.50 shares Jan. 1, 2015 shares $1.25 July 1, 2015 shares $1.25