Whitacre Company's Stockholders' Equity section of the balance sheet on December 31, 2016, was as follows: Common

Question:

Whitacre Company's Stockholders' Equity section of the balance sheet on December 31, 2016, was as follows:

Common stock, $10 par value, 60,000 shares issued and outstanding ...............$ 600,000

Additional paid-in capital .....................................................................480,000

Retained earnings .............................................................................1,240,000

Total stockholders' equity ..................................................................$2,320,000

On May 1, 2017, Whitacre declared and issued a 15% stock dividend, when the stock was selling for $20 per share. Then on November 1, it declared and issued a 2-for-1 stock split.

Required

1. How many shares of stock are outstanding at year-end?

2. What is the par value per share of these shares?

3. Develop the Stockholders' Equity category of Whitacre's balance sheet as of December 31, 2017.

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial... Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...