Graves Corporation issued 50,000 shares of $1 par value common stock. Later that year,Graves purchased 12,000 shares of its own common stock. Two months later, it reissued2,000 shares. How many shares are issued and outstanding?a. 50,000 issued and 50,000 outstandingb. 52,000 issued and 40,000 outstandingc. 62,000 issued and 60,000 outstandingd. 50,000 issued and 40,000 outstanding

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A: 1.

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A:

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Q: repare the journal entries to record the transactions

A:

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Stockholder's Equity

The stockholders’ equity (often referred to as the book value of the company) is the number of assets available to the stockholder after its entire liabilities is paid off. The stockholders’ equity is also sometimes referred to as owner's equity. The stockholders’ equity or book value generally includes common stock, treasury stock retained earnings. It is an indicator of a company's financial strength and is an important item on the company's balance sheet.