Solved

The Shareholders' Equity Section of Maven Corporation's Balance Sheet as of December

Question 75

Essay

The shareholders' equity section of Maven Corporation's balance sheet as of December 31, 2016 is as follows:
 Common stock, $1 par; authorized, 6,000 shares; 2,000 shares issued $2,000 Additional paid-in capital 60,000 Retained earnings 58,000 Total shareholders’ equity $120,000\begin{array}{lr}\text { Common stock, } \$ 1 \text { par; authorized, } 6,000 \text { shares; } 2,000 \text { shares issued } & \$ 2,000 \\\text { Additional paid-in capital } & 60,000 \\\text { Retained earnings } & 58,000 \\\quad \text { Total shareholders' equity } & \$ 120,000\end{array}
The following events occurred during 2017:
.February 1 - 400 shares of authorized and unissued common stock were sold for $4 per share.
.June 16 - A 15% stock dividend was declared and issued. Market value per share is currently $18.
.October 11 - A three-for-one split was carried out. Market value was $21 per share.
.November 4 - A cash dividend of $4.20 per share was declared, payable January 12 to shareholders of record on November 30.
How many shares of common stock are outstanding at December 31, 2017? Determine the balance in the common stock account at December 31, 2017.

Correct Answer:

verifed

Verified

Outstanding shares: ...

View Answer

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents