Chapter 11, Problem 11.6E

Finding Amounts Missing from the Stockholders’ Equity Section

The stockholders’ equity section on the balance sheet of Dillard’s, a popular department store, is shown below. During the year, the company reported net income of $463,909,000 and declared and paid dividends of $10,002,000.

Stockholders’ Equity:	Current Year	Last Year
Common stock. Class A—118,529,925 and 117,706,523 shares issued: ? and ? shares outstanding	118,530	117,707
Common stock. Class B (convertible)—4,010,929 shares issued and outstanding	40,000	40,000
Additional paid-in capital	828,796,000	805,422,000
Retained earnings	3,107,344,000	?
Less treasury stock, at cost, Class A—73,099,319 and 61,740,439 shares	(1,846,312,000)	(1,355,526,000)

Required:

Answer the following questions. Show your computations.

1. 1. What amount was reported in the Common Stock (Class A) account at the end of the current year?
2. 2. How many shares of Class A Common Stock were outstanding at the end of last year and the end of the current year?
3. 3. What amount was reported in the Retained Earnings account at the end of last year?
4. 4. At the end of the current year, have the treasury stock transactions increased assets or decreased assets? By how much?
5. 5. During the current year, by what amount did treasury stock transactions increase or decrease stock-holders’ equity?
6. 6. At the end of the current year, what was the average price paid per share for shares held in treasury stock?