D totaldividendsdeclared1275000frompartc

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Unformatted text preview: Common stock ($0.50 par value, 10,000 shares authorized, 7,000 shares issued, and 840 shares held in treasury) Additional paid­in capital: Preferred stock (10%) Preferred stock (12%) Common stock Treasury stock Retained earnings Treasury stock ($5,750 + $1,000 ­ $360) Total stockholders' equity * $4,405 = $ 3,000 1,500 3,500 $ 2,850 1,275 2,345 300 4,405* (6,390) 12,785 $4,256 – $750 (dividends declared) + $899 (net income) P12–10 a. Number of Shares Issued Average Issue Price b. = Increase in Par Value ÷ Par Value per Share = ($200,000 – $110,000) ÷ $100 per Share = 900 Shares = Increase in Contributed Capital ÷ Number of Shares = (Increase in Par Value + Increase in Additional Paid­in Capital) ÷ 900 Shares = [($200,000 – $110,000) + ($150,000 – $35,000)] ÷ 900 Shares = $227.78 per Share Number of Shares Issued Average Issue Price = ($900,000 – $750,000) ÷ $10 per Share = 15,000 Shares = [($900,000 – $750,000) + ($465,000 – $298,000)] ÷ 15,000 Shares = $21.13 per Share c. Treasury Stock (–SE) 110,000 Cash (...
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This homework help was uploaded on 03/03/2014 for the course ACCT 5053 taught by Professor Staff during the Fall '08 term at Oklahoma State.

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