Bacon Inc. has the following stockholders’ equity section in its May 31, 2019, comparative balance sheets: May 31, 2019 April 30, 2019 Paid-in capital: Preferred stock, $120 par value, 9%, cumulative, 200,000 shares authorized, 140,000 shares issued and outstanding $ 16,800,000 $ 16,800,000 Common stock, $5 par value, 1,000,000 shares authorized, 600,000 and 540,000 shares issued, respectively ? 2,700,000 Additional paid-in capital 26,100,000 23,220,000 Retained earnings 36,200,000 34,640,000 Less: Treasury common stock, at cost; 72,000 shares and 68,000 shares, respectively (4,412,000 ) (4,148,000 ) Total stockholders' equity $ ? $ 73,212,000 c. What was the average cost per share of the common stock purchased for the treasury during the month?
Bacon Inc. has the following stockholders’ equity section in its May 31, 2019, comparative balance sheets: May 31, 2019 April 30, 2019 Paid-in capital: Preferred stock, $120 par value, 9%, cumulative, 200,000 shares authorized, 140,000 shares issued and outstanding $ 16,800,000 $ 16,800,000 Common stock, $5 par value, 1,000,000 shares authorized, 600,000 and 540,000 shares issued, respectively ? 2,700,000 Additional paid-in capital 26,100,000 23,220,000 Retained earnings 36,200,000 34,640,000 Less: Treasury common stock, at cost; 72,000 shares and 68,000 shares, respectively (4,412,000 ) (4,148,000 ) Total stockholders' equity $ ? $ 73,212,000 c. What was the average cost per share of the common stock purchased for the treasury during the month?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Bacon Inc. has the following stockholders’ equity section in its May 31, 2019, comparative balance sheets:
May 31, 2019 | April 30, 2019 | |||||
Paid-in capital: | ||||||
$ | 16,800,000 | $ | 16,800,000 | |||
Common stock, $5 par value, 1,000,000 shares authorized, 600,000 and 540,000 shares issued, respectively | ? | 2,700,000 | ||||
Additional paid-in capital | 26,100,000 | 23,220,000 | ||||
36,200,000 | 34,640,000 | |||||
Less: |
(4,412,000 | ) | (4,148,000 | ) | ||
Total stockholders' equity | $ | ? | $ | 73,212,000 | ||
c. What was the average cost per share of the common stock purchased for the treasury during the month?
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calculation of average cost per share of the common stock purchased for the treasury during the month are as follows
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