The charter of a corporation provides for the issuance of 100,000 shares of common stock. Assume that 40,000 shares were originally issued and 10,000 were subsequently reacquired. What is the number of shares outstanding?
A) 10,000
B) 40,000
C) 30,000
D) 50,000

Question

Quizplus · Accepted Answer

Shares outstanding are calculated by subtracting the number of shares reacquired from the number of shares originally issued. Therefore, 40,000 originally issued - 10,000 reacquired = 30,000 shares outstanding.

The Charter of a Corporation Provides for the Issuance of 100,000