Mr. Abu Bakar, CEO of XYZ Limited Company said to Mr. Umar Faruk, CFO of the company “Treasury stock and Ordinary stock have same impact on the stockholders equity”. Do you agree? Explain in brief.
(a) Mr. Abu Bakar, CEO of XYZ Limited Company said to Mr. Umar Faruk, CFO of the company “
(b) MHM Limited Company has issued 150,000 shares of Tk. 10 par value common stock. It is authorized to issue 800,000 shares. The paid-in capital in excess of par value on the common stock is Tk. 250,000. The corporation has reacquired 10,000 shares at a cost of Tk. 80,000 and the paid in capital in excess of treasury stock is Tk. 20,000. MHM Limited currently holds those shares. It also had a cumulative other comprehensive loss of Tk. 5,000. The corporation also has 5,000 shares issued and outstanding of 8%, Tk.100 par value
Instruction: Prepare the stockholders’ equity section of the balance sheet.
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