The following data is available for Santos Service Corporation at December 31 2017: Common stock, par $ \$ 10 $ (authorized 100,000 shares) $\quad $ $ \$ 400,000 $
Treasury Stock (at cost $ \$ 15 $ per share) $\quad $ $\quad $ $\quad $ $\quad $ $\quad $$\$27,000$
Based on the data how many shares of common stock have been issued?
A) 50000
B) 40000
C) 49880
D) 38200

Question

The following data is available for Santos Service Corporation at December 31 2017: Common stock, par $ \$ 10 $ (authorized 100,000 shares) $\quad $ $ \$ 400,000 $
 Treasury Stock (at cost $ \$ 15 $ per share) $\quad $ $\quad $  $\quad $ $\quad $ $\quad $$\$27,000$
 Based on the data how many shares of common stock have been issued?
A) 50000
B) 40000
C) 49880
D) 38200

Quizplus · Accepted Answer

The number of shares issued is calculated by dividing the total common stock value by the par value per share. Thus, $ \$400,000 \div \$10 = 40,000 $ shares.

The Following Data Is Available for Santos Service Corporation at December