The shareholders' equity section of the balance sheet of Caesar Corporation at December 31, 2009, appears as follows: (The company engaged in no treasury share transactions prior to 2009)

-Refer to the above data. If Caesar Corporation had reacquired 7,000 shares of treasury share early in 2009, then some treasury share must have been sold during 2009 for:

Question

The shareholders' equity section of the balance sheet of Caesar Corporation at December 31, 2009, appears as follows: (The company engaged in no treasury share transactions prior to 2009)

-Refer to the above data. If Caesar Corporation had reacquired 7,000 shares of treasury share early in 2009, then some treasury share must have been sold during 2009 for:

Quizplus · Accepted Answer

If Caesar Corporation reacquired 7,000 shares and the treasury shares decreased by the end of 2009, it implies that some shares were sold. The price at which they were sold must be higher than the reacquisition cost, which is $12.00 per share, to account for the decrease in treasury shares.

The Shareholders' Equity Section of the Balance Sheet of Caesar