The balance sheet caption for common stock is: Common stock, no par value, $7,000,000$ shares authorized,
$4,600,000$ shares issued, $4,450,000$ shares outstanding $\quad \$ 552,000,000$ (a.) Calculate the average price at which the shares were issued.
(b.) If these shares had been assigned a stated value of $10 each, show how the above caption would be different.
(c.) Calculate the total amount of cash that would be paid to stockholders if a cash dividend of $1.50 per share were declared.

Question

The balance sheet caption for common stock is: Common stock, no par value, $7,000,000$ shares authorized,
 $4,600,000$ shares issued, $4,450,000$ shares outstanding $\quad \$ 552,000,000$ (a.) Calculate the average price at which the shares were issued.
(b.) If these shares had been assigned a stated value of $10 each, show how the above caption would be different.
(c.) Calculate the total amount of cash that would be paid to stockholders if a cash dividend of $1.50 per share were declared.

Quizplus · Accepted Answer

The Answer of The balance sheet caption for common stock is: Common stock, no par value, $7,000,000$ shares authorized,
 $4,600,000$ shares issued, $4,450,000$ shares outstanding $\quad \$ 552,000,000$ (a.) Calculate the average price at which the shares were issued.
(b.) If these shares had been assigned a stated value of $10 each, show how the above caption would be different.
(c.) Calculate the total amount of cash that would be paid to stockholders if a cash dividend of $1.50 per share were declared.

The Balance Sheet Caption for Common Stock Is: Common Stock 7,000,0007,000,0007,000,000

The Balance Sheet Caption for Common Stock Is: Common Stock $7,000,000$