Reference no: EM132703453
The following information comes from a balance sheet at December 31, 2015:
Common Stock, $1 par, 1,000,000 shares authorized $ 160,000
Paid-in Capital in Excess of Par--Common Stock 120,000
Total Capital Stock 280,000
Retained Earnings 80,000
Less: Treasury Stock (4,000 common shares at cost) <40,000>
Total Stockholders' Equity $320,000
Answer the following questions:
Question A) How many shares of common stock are issued?
Question B) How many shares of common stock are outstanding?
Question C) Assuming that all shares were sold at the same price, what was the original selling price per share?
Question D) If the company declares a 2-for-1 stock split on December 31, 2015, describe the resulting change, if any, in the balances in capital stock accounts and the par value of the common stock.
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