Assume the following is the stockholders' equity section of the 2016 balance sheet for Procter & Gamble Company and its statement of stockholders' equity. Amounts in millions; June 30 2016 2015 Shareholders' Equity Convertible Class A preferred stock, stated value $1 per share (600 shares authorized).. Non-Voting Class B preferred stock, stated value $1 per share (200 shares authorized). Common stock, stated value $1 per share (10,000 shares authorized; shares outstanding: 2016-3,975.8, 2015-2,976.6)..... Additional paid-in capital, Reserve for ESOP debt retirement. Accumulated other comprehensive income $ 1,451 $ 1,483 3,976 2,977 57,856 3,030 (1,288) (518) (34,235) (1,259) (1,566) Treasury stock, at cost (shares held: 2016-797.0, 2015-503.7)...... Retained earnings. Total shareholders' equity.. (17,194) 31,004 $18.475 35,666 $62,908 Consolidated Statement of Shareholders' Equity Accum. Other Total Compre- hensive Income Reserve Common Shares Outstanding Add'l Dollars in millions/ shares in thousands for ESOP Debt Retirement Compre- hensive Income Common Preferred Paid-in Treasury Retained Stock Stock Capital Stock Earnings Total Bal. June 30, 2015 2,472.934 $2,977 $1,483 $3,030 $(1,259) $(1,566) $(17,194) $31,004 $18,475 Net Earnings Other comprehensive income: Financial statement translation Net investment hedges, net of $472 tax 8,684 8,684 $8,684 1.316 1,316 1,316 (786) (786) (786) Other, net of tax benefits Total comprehensive income Dividends to shareholders: Common Preferred, net of tax benefits 518 518 518 $9.732 (3,555) (3,555) (148) (148) Treasury purchases (297,132) (9) (16,821) (16,830) Employee plan issuances Preferred stock Conversions 36,763 16 1,308 887 (319) 1,892 3,788 (32) 27 Gillette acquisition Change in ESOP debt reserve 962,488 983 53,522 (1,134) 53,371 (29) (29) Bal. June 30, 2016 3.178.841 $3.976 $1.451 $57.856 $(1.288) $ (518) $(34.235) $35.666 $62.908 How many shares of common stock did Procter & Gamble issue when convertible class A preferred stock was converted during fiscal 2016? 36,763,000 3,788,000 c. 962,488,000 d. 600,000,000 a. b.

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Assume the following is the stockholders' equity section of the 2016 balance sheet for Procter &
Gamble Company and its statement of stockholders' equity.
Amounts in millions; June 30
2016
2015
Shareholders' Equity
Convertible Class A preferred stock, stated value $1 per share
(600 shares authorized)..
Non-Voting Class B preferred stock, stated value $1 per share
(200 shares authorized).
Common stock, stated value $1 per share (10,000 shares
authorized; shares outstanding: 2016-3,975.8, 2015-2,976.6).....
Additional paid-in capital,
Reserve for ESOP debt retirement.
Accumulated other comprehensive income
$ 1,451
$ 1,483
3,976
2,977
57,856
3,030
(1,288)
(518)
(34,235)
(1,259)
(1,566)
Treasury stock, at cost (shares held: 2016-797.0, 2015-503.7)......
Retained earnings.
Total shareholders' equity..
(17,194)
31,004
$18.475
35,666
$62,908
Transcribed Image Text:Assume the following is the stockholders' equity section of the 2016 balance sheet for Procter & Gamble Company and its statement of stockholders' equity. Amounts in millions; June 30 2016 2015 Shareholders' Equity Convertible Class A preferred stock, stated value $1 per share (600 shares authorized).. Non-Voting Class B preferred stock, stated value $1 per share (200 shares authorized). Common stock, stated value $1 per share (10,000 shares authorized; shares outstanding: 2016-3,975.8, 2015-2,976.6)..... Additional paid-in capital, Reserve for ESOP debt retirement. Accumulated other comprehensive income $ 1,451 $ 1,483 3,976 2,977 57,856 3,030 (1,288) (518) (34,235) (1,259) (1,566) Treasury stock, at cost (shares held: 2016-797.0, 2015-503.7)...... Retained earnings. Total shareholders' equity.. (17,194) 31,004 $18.475 35,666 $62,908
Consolidated Statement of Shareholders' Equity
Accum.
Other
Total
Compre-
hensive
Income
Reserve
Common
Shares
Outstanding
Add'l
Dollars in millions/
shares in thousands
for ESOP
Debt
Retirement
Compre-
hensive
Income
Common Preferred Paid-in
Treasury Retained
Stock
Stock
Capital
Stock
Earnings
Total
Bal. June 30, 2015
2,472.934
$2,977
$1,483
$3,030
$(1,259)
$(1,566) $(17,194) $31,004
$18,475
Net Earnings
Other comprehensive
income: Financial
statement translation
Net investment
hedges, net of $472 tax
8,684
8,684
$8,684
1.316
1,316
1,316
(786)
(786)
(786)
Other, net of tax benefits
Total comprehensive
income
Dividends to shareholders:
Common
Preferred, net of
tax benefits
518
518
518
$9.732
(3,555)
(3,555)
(148)
(148)
Treasury purchases
(297,132)
(9)
(16,821)
(16,830)
Employee plan issuances
Preferred stock
Conversions
36,763
16
1,308
887
(319)
1,892
3,788
(32)
27
Gillette acquisition
Change in ESOP
debt reserve
962,488
983
53,522
(1,134)
53,371
(29)
(29)
Bal. June 30, 2016
3.178.841
$3.976
$1.451
$57.856
$(1.288)
$ (518) $(34.235) $35.666
$62.908
How many shares of common stock did Procter & Gamble issue when convertible class A preferred
stock was converted during fiscal 2016?
36,763,000
3,788,000
c. 962,488,000
d. 600,000,000
a.
b.
Transcribed Image Text:Consolidated Statement of Shareholders' Equity Accum. Other Total Compre- hensive Income Reserve Common Shares Outstanding Add'l Dollars in millions/ shares in thousands for ESOP Debt Retirement Compre- hensive Income Common Preferred Paid-in Treasury Retained Stock Stock Capital Stock Earnings Total Bal. June 30, 2015 2,472.934 $2,977 $1,483 $3,030 $(1,259) $(1,566) $(17,194) $31,004 $18,475 Net Earnings Other comprehensive income: Financial statement translation Net investment hedges, net of $472 tax 8,684 8,684 $8,684 1.316 1,316 1,316 (786) (786) (786) Other, net of tax benefits Total comprehensive income Dividends to shareholders: Common Preferred, net of tax benefits 518 518 518 $9.732 (3,555) (3,555) (148) (148) Treasury purchases (297,132) (9) (16,821) (16,830) Employee plan issuances Preferred stock Conversions 36,763 16 1,308 887 (319) 1,892 3,788 (32) 27 Gillette acquisition Change in ESOP debt reserve 962,488 983 53,522 (1,134) 53,371 (29) (29) Bal. June 30, 2016 3.178.841 $3.976 $1.451 $57.856 $(1.288) $ (518) $(34.235) $35.666 $62.908 How many shares of common stock did Procter & Gamble issue when convertible class A preferred stock was converted during fiscal 2016? 36,763,000 3,788,000 c. 962,488,000 d. 600,000,000 a. b.
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