A technology company has a corporate charter that allows it to sell up to 50 million shares of stock. The company issues 30 million shares to investors but later repurchases 5 million shares as treasury stock. What is the current number of outstanding shares after these transactions? A. 25 million shares B. 30 million shares C. 50 million shares D. 45 million shares
A technology company has a corporate charter that allows it to sell up to 50 million shares of stock. The company issues 30 million shares to investors but later repurchases 5 million shares as treasury stock. What is the current number of outstanding shares after these transactions? A. 25 million shares B. 30 million shares C. 50 million shares D. 45 million shares
Chapter15: Dividend Policy
Section: Chapter Questions
Problem 12P
Related questions
Question
100%
What is the current number of outstanding shares after these transactions on these financial accounting question?
Transcribed Image Text:A technology company has a corporate charter that allows it to sell up to
50 million shares of stock. The company issues 30 million shares to
investors but later repurchases 5 million shares as treasury stock.
What is the current number of outstanding shares after these
transactions?
A. 25 million shares
B. 30 million shares
C. 50 million shares
D. 45 million shares
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Recommended textbooks for you
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT