A regional chain of medical clinics had the following information pertaining to its stockholders' equity accounts at December 1, 2019:
No dividends were paid during 2019. On December 15, 2019 the clinic repurchased 3,000 shares of its common stock for $80 per share. On December 31, the bookkeeper closed the books, reporting net income of $2,500,000.
A)What amount will be reported on the balance sheet for Treasury Stock at December 31, 2019?
B)How many shares of stock are outstanding at December 31, 2019?
C)Prepare the stockholders' equity section of the balance sheet at December 31, 2019.
Correct Answer:
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