Determine the proportionate interest of Mr. Aldrin. b) If Aldrin exercises his rights, what will be his proportionate interest
Determine the proportionate interest of Mr. Aldrin. b) If Aldrin exercises his rights, what will be his proportionate interest
Chapter22: S Corporations
Section: Chapter Questions
Problem 51P
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Question
Mr. Aldrin owns 15,000 shares of INC , Inc. which has a 40,000 shares outstanding and 60,000 shares of authorized capital stock. INC issues additional shares of 10,000 capital stocks giving the shareholders the pre-emptive right to subscribe .
a) Determine the proportionate interest of Mr. Aldrin.
b) If Aldrin exercises his rights, what will be his proportionate interest ?
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