The authorized share capital of the Alfred Cake Company is 120,000 shares. The equity is currently shown in the company’s books as follows: Common stock ($2 par value) $ 69,000 Additional paid-in capital 19,000 Retained earnings 39,000 Common equity $ 127,000 Treasury stock (4,000 shares) 13,000 Net common equity $ 114,000 a. How many shares are issued? b. How many shares are outstanding? c. How many more shares can be issued without the approval of shareholders?
The authorized share capital of the Alfred Cake Company is 120,000 shares. The equity is currently shown in the company’s books as follows: Common stock ($2 par value) $ 69,000 Additional paid-in capital 19,000 Retained earnings 39,000 Common equity $ 127,000 Treasury stock (4,000 shares) 13,000 Net common equity $ 114,000 a. How many shares are issued? b. How many shares are outstanding? c. How many more shares can be issued without the approval of shareholders?
Chapter14: Corporation Accounting
Section: Chapter Questions
Problem 7EB: Silva Company is authorized to issue 5,000,000 shares of $2 par value common stock. In its IPO, the...
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The authorized share capital of the Alfred Cake Company is 120,000 shares. The equity is currently shown in the company’s books as follows:
Common stock ($2 par value) | $ | 69,000 |
Additional paid-in capital | 19,000 | |
39,000 | ||
Common equity | $ | 127,000 |
13,000 | ||
Net common equity | $ | 114,000 |
a. How many shares are issued?
b. How many shares are outstanding?
c. How many more shares can be issued without the approval of shareholders?
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