The stockholders’ equity section of University Fashions is presented here.
University Fashions
Balance Sheet
(Stockholders’ Equity Section)
($ in thousands)
Stockholders’ equity:
Preferred stock, $50 par value ......... $50,000
Common stock, $5 par value ........ $25,000
Additional paid-in capital ......... 120,000
Total paid-in capital ............ 195,000
Retained earnings ............. 140,000
Treasury stock ............... (20,900)
Total stockholders’ equity .......... $314,100

Required:
Based on the stockholders’ equity section of University Fashions, answer the following questions. Remember that all amounts are presented in thousands.
1. How many shares of preferred stock have been issued?
2. How many shares of common stock have been issued?
3. Assuming the preferred shares were issued at par value, at what average price per share were the common shares issued?
4. If retained earnings at the beginning of the period was $120 million and net income during the year was $30 million, how much was paid in dividends for the year?
5. If the treasury stock was reacquired at $20 per share, how many shares were reacquired?