Below are 2005 and 2006 balance sheets of Hasbro, Inc. (numbers are in thousands of dollars): The market value of Hasbro's shares was $27.25 a share at the end of 2006 and $20.18 a share at the end of 2005.
-Refer to the information above. In 2006, the number of shares of Hasbro's stock that were repurchased was

Question

Below are 2005 and 2006 balance sheets of Hasbro, Inc. (numbers are in thousands of dollars):    The market value of Hasbro's shares was $27.25 a share at the end of 2006 and $20.18 a share at the end of 2005.
-Refer to the information above. In 2006, the number of shares of Hasbro's stock that were repurchased was

Quizplus · Accepted Answer

To calculate the number of shares repurchased in 2006, we need to compare the total shareholders' equity between 2005 and 2006. Total shareholders' equity decreased from $2,832,203 in 2005 to $2,635,546 in 2006. This difference of $196,657 represents the amount of shareholder equity used for share repurchase. To calculate the number of shares repurchased, we divide this amount by the market value per share at the end of 2006:

$196,657 / $27.25 per share = 7,214,856 shares

Therefore, the correct answer is C) 49,074,215 shares (total number of outstanding shares at the end of 2005 minus the number of outstanding shares at the end of 2006: 56,289,071 - 7,214,856 = 49,074,215 shares).

Below Are 2005 and 2006 Balance Sheets of Hasbro, Inc