Chapter 11, Problem 3PA

Finding Missing Amounts

At December 31, the records of Kozmetsky Corporation provided the following selected and incomplete data:

Common stock (par $2; no changes during the current year).

Shares authorized, 5,000,000.

Shares issued,  ? ; issue price $8 per share.

Shares held as treasury stock, 10,000 shares, cost $6 per share.

Net income for the current year, $481,000.

Common Stock account, $150,000.

Dividends declared and paid during the current year, $2 per share.

Retained Earnings balance, beginning of year, $800,000.

Required:

1. 1. Complete the following:

   Shares issued ____.

   Shares outstanding _______.

2. 2. The balance in Additional Paid-in Capital would be $ _____.
3. 3. Earnings per share is $ ____. Round your answer to two decimal places.
4. 4. Total dividends paid on common stock during the current year is $ _____.
5. 5. Treasury stock should be reported in the stockholders’ equity section of the balance sheet in the amount of $ ________.
6. 6. Assume that the board of directors voted a 2-for-l stock split. After the stock split, the par value per share will be $ _____.