Can you answer this accounting question? A corporate charter specifies that the company may sell up to20 million shares of stock. The company sells 12 million sharesto investors and later buys back 3 million shares. The currentnumber of outstanding shares after these transactions havebeen accounted for is:A. 10 million shares.B. 9 million shares.C. 20 million shares.D. 8 million shares.

Explanation: In the given case, we are required to calculate the current no. of shares outstanding…

Answered: A corporate charter specifies that the…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Similar questions

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a company currently has 200,000 shares issued and 190,000 shares outstanding. if the company purchases 20.000 shares of treasury stock, what amount of shares will be outstanding?
What is the current number of outstanding shares after these transactions on these financial accounting question?
The charter of Zion Associates provides for the issuance of 100,000 shares of common stock. Assume that 60,000 shares were originally issued and 10,000 shares were subsequently reacquired. What is the amount of cash dividends to be paid if a $2-per-share dividend is declared? a. $80,000 b. $20,000 c. $90,000 d. $100,000 e. None of the above
Suppose a company purchases 2,000 shares of its own $1 par value common stock for $16 per share. The company then resells 400 of these shares for $20 per share. Which of the following is recorded at the time of the resale? a. Credit Common Stock for $400. b. Credit Treasury Stock for $8,000. c. Credit Common Stock for $8,000. d. Credit Additional Paid-In Capital for $1,600.
What is the amount of cash dividends to be paid if a $2 per share dividend is declared? 10K, 90K or 80K?
Company A has earrings per share of $3 with 20 million shares outstanding. The current market price of Company As Stock is $40 per share. Company A is in process of acquiring Company B., which has earnings per share of $1.50, 4 million of common stock shares. Currently, Company Bs stock trades at $25. The acquisition will be done 100% by stock issue by Company A. Exchange ratio will be set in a way that, at current pre-announcement share prices for both firms, the offer represents a 10% premium to buy Company B. What will be the price per share of Company A immediately after the announcement of acquisition? What will be subsequent price action in both Company As and Company Bs stocks? Explain briefly.
Please give me correct answer this financial accounting question
A corporation has 800,000 ordinary shares outstanding, Recently, the corporation bought 100,000 shares of its own stock. At the end of the year, the corporation has P320,000 available to distribute to ordinary shareholders. What are the dividends paid per share? please provide a clear solution. Thank you.
Company Z has 2.4 million shares of common stock authorized with a par value of $1 and a market price of $58. There are 1.2 million outstanding shares and 0.3 millión shares held in treasury stock Required: a. Prepare the journal entry if the company declares and distributes a 10% stock dividend. b. Show the effect of the 10% stock dividend on assets, liabilities, and stockholders' equity. c. Prepare the journal entry if the company declares and distributes a 100% stock dividend. d. Show the effect of the 100% stock dividend on assets, liabilities, and stockholders' equity. Complete this question by entering your answers in the table below. Required A Required B Required C Required D Prepare the journal entry if the company declares and distributes a 10% stock dividend. (If no entry is required for a transaction/event, select "No Journal Entry Required in the first account field. Enter your answers in dollars and not in millions.) View transaction list Journal entry worksheet Record…
Hopeful Ltd. had issued 500,000 shares at a nominal value of 25p each when it commenced business. After two years of profitable trading it issued a further 250,000 shares at a market price of 75p per share. Which of the following would be reported as equity in the statement of financial position after the second share issue? A. Share capital £187,500, share premium £125,000 B. Share capital £125,000, share premium £187,500 C. Share capital £312,500 D. Share capital £125,000, share premium £125,000
1. The charter of a corporation provides for the issuance of 100,000 shares of common stock. Assume that 40,000 shares were originally issued and 10,000 were subsequently reacquired. What is the number of shares outstanding? A. 30,000 B. 50,000 C. 10,000 D. 40,000 2. The par value per share of common stock represents the a. minimum amount the stockholder will receive when the corporation is liquidated. b. minimum selling price of the stock established by the articles of incorporation. c. amount of dividends per share to be received each year. d. dollar amount assigned to each share.

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