Presented below is the stockholders' equity section of Oaks Corporation at December 31, 2014: During 2015, the following transactions occurred relating to stockholders' equity:3,000 shares were reacquired at $28 per share.3,000 shares were reacquired at $35 per share.1,800 shares of treasury stock were sold at $30 per share.For the year ended December 31, 2015, Oaks reported net income of $450,000. Assuming Oaks accounts for treasury stock under the cost method, what should it report as total stockholders' equity on its December 31, 2015, balance sheet?

Question

Presented below is the stockholders' equity section of Oaks Corporation at December 31, 2014:  During 2015, the following transactions occurred relating to stockholders' equity:3,000 shares were reacquired at $28 per share.3,000 shares were reacquired at $35 per share.1,800 shares of treasury stock were sold at $30 per share.For the year ended December 31, 2015, Oaks reported net income of $450,000. Assuming Oaks accounts for treasury stock under the cost method, what should it report as total stockholders' equity on its December 31, 2015, balance sheet?

Quizplus · Accepted Answer

The Answer of Presented below is the stockholders' equity section of Oaks Corporation at December 31, 2014:  During 2015, the following transactions occurred relating to stockholders' equity:3,000 shares were reacquired at $28 per share.3,000 shares were reacquired at $35 per share.1,800 shares of treasury stock were sold at $30 per share.For the year ended December 31, 2015, Oaks reported net income of $450,000. Assuming Oaks accounts for treasury stock under the cost method, what should it report as total stockholders' equity on its December 31, 2015, balance sheet?

Presented Below Is the Stockholders' Equity Section of Oaks Corporation