The stockholders’ equity section of Velcro World is presented here. VELCRO WORLD Balance Sheet (partial) ($ and shares in thousands) Stockholders' equity: Preferred stock, $1 par value $ 4,100 Common stock, $1 par value 11,000 Additional paid-in capital 233,000 Total paid-in capital 248,100 Retained earnings 269,000 Treasury stock, 11,000 common shares (143,000 ) Total stockholders' equity $ 374,100 Based on the stockholders' equity section of Velcro World, answer the following questions. Remember that all amounts are presented in thousands. 3. If the common shares were issued at $11 per share, at what average price per share were the preferred shares issued?
The stockholders’ equity section of Velcro World is presented here. VELCRO WORLD Balance Sheet (partial) ($ and shares in thousands) Stockholders' equity: Preferred stock, $1 par value $ 4,100 Common stock, $1 par value 11,000 Additional paid-in capital 233,000 Total paid-in capital 248,100 Retained earnings 269,000 Treasury stock, 11,000 common shares (143,000 ) Total stockholders' equity $ 374,100 Based on the stockholders' equity section of Velcro World, answer the following questions. Remember that all amounts are presented in thousands. 3. If the common shares were issued at $11 per share, at what average price per share were the preferred shares issued?
The stockholders’ equity section of Velcro World is presented here. VELCRO WORLD Balance Sheet (partial) ($ and shares in thousands) Stockholders' equity: Preferred stock, $1 par value $ 4,100 Common stock, $1 par value 11,000 Additional paid-in capital 233,000 Total paid-in capital 248,100 Retained earnings 269,000 Treasury stock, 11,000 common shares (143,000 ) Total stockholders' equity $ 374,100 Based on the stockholders' equity section of Velcro World, answer the following questions. Remember that all amounts are presented in thousands. 3. If the common shares were issued at $11 per share, at what average price per share were the preferred shares issued?
The stockholders’ equity section of Velcro World is presented here.
VELCRO WORLD
Balance Sheet (partial)
($ and shares in thousands)
Stockholders' equity:
Preferred stock, $1 par value
$
4,100
Common stock, $1 par value
11,000
Additional paid-in capital
233,000
Total paid-in capital
248,100
Retained earnings
269,000
Treasury stock, 11,000 common shares
(143,000
)
Total stockholders' equity
$
374,100
Based on the stockholders' equity section of Velcro World, answer the following questions. Remember that all amounts are presented in thousands.
3. If the common shares were issued at $11 per share, at what average price per share were the preferred shares issued?
Definition Definition Type of stock which is granted priority over dividend distributions as compared to common stockholders. Preferred stocks also do not carry any voting rights. Notably, in a case where a company is going to be liquidated, preferred stockholders have a priority claim on the value of assets of the company as quoted in the balance sheet, as compared to the common stockholders.
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