A firm has 800 million authorized shares, 500 million issued shares, and 100 million in treasury stock. How many shares are in the public's hands?

Question

Quizplus · Accepted Answer

The issued shares minus the treasury stock is equal to the number of shares in the public's hands. Therefore, 500 million - 100 million = 400 million. The total number of shares in the public's hands is the number of issued shares minus the number of treasury shares:
Public shares = Issued shares - Treasury shares
Public shares = 500 million - 100 million
Public shares = 400 million.

A Firm Has 800 Million Authorized Shares, 500 Million Issued