LE9 - and common shareholders.a $5,000 for the preferred...

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Good Fellows Corporation reported the following in the stockholders' equity section of its balance sheet at December 31, 2002: 5% Preferred stock, par value $10 $ 20,000 Common stock, par value $.50 10,000 Additional paid-in capital 50,000 Total contributed capital 80,000 Retained earnings 20,000 Total Stockholders’ Equity $100,000 1.The total number of shares of common stock outstanding at December 31, 2002 is? a. 100,000 b. 10,000 c. 60,000 d. 20,000 2. On June 30, 2003 Good Fellows Corporation reacquired 2000 shares of common stock when the market value was $10 per share. Total stockholders’ equity following the purchase would be? a. $80,000 b. $120,000 c. $100,000 d. $20,000 3. Good Fellows Corporation plans to distribute $20,000 in dividends. If the preferred stocks are cumulative and non-participating how much will be distributed to preferred
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Unformatted text preview: and common shareholders? .a $5,000 for the preferred stockholders and $15,000 for the common stock holders. .b $19,000 for the preferred stockholders and $1,000 for the common stock holders. .c $1,000 for the preferred stockholders and $19,000 for the common stock holders. .d $500 for the preferred stockholders and $19,500 for the common stock holders. 4. On August 21, 2003 the company resold the shares acquired on June 30, 2003 at $12 per share. As a result of reselling the treasury stock the company will report: A $4,000 gain on treasury transactions B $4,000 loss on treasury transactions C $4,000 increase in the common stock account D $4,000 increase in the additional paid in capital account...
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This note was uploaded on 06/15/2011 for the course ACCT 23020 taught by Professor Dorff,p during the Spring '08 term at Kent State.

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