Overton Supply reported the following information at December 31, 2015:
Answer the following questions for Overton Supply.
1 Assuming that all shares were sold at the same price, how much did each share of common stock originally sell for?
2 What is the total amount of contributed capital at December 31, 2015?
3 What is the amount of the book value per share at December 31, 2015?
4 Would the book value per share increase, decrease, or remain the same, if the company declared a 2-for-1 stock split on December 31, 2015? Explain.

Question

Overton Supply reported the following information at December 31, 2015:
  Answer the following questions for Overton Supply.
1 Assuming that all shares were sold at the same price, how much did each share of common stock originally sell for?
2 What is the total amount of contributed capital at December 31, 2015?
3 What is the amount of the book value per share at December 31, 2015?
4 Would the book value per share increase, decrease, or remain the same, if the company declared a 2-for-1 stock split on December 31, 2015? Explain.

Quizplus · Accepted Answer

The Answer of Overton Supply reported the following information at December 31, 2015:
  Answer the following questions for Overton Supply.
1 Assuming that all shares were sold at the same price, how much did each share of common stock originally sell for?
2 What is the total amount of contributed capital at December 31, 2015?
3 What is the amount of the book value per share at December 31, 2015?
4 Would the book value per share increase, decrease, or remain the same, if the company declared a 2-for-1 stock split on December 31, 2015? Explain.

Overton Supply Reported the Following Information at December 31, 2015