Reference no: EM132761135
Question - New York Corporation has the following shareholders' equity on December 31, 2021:
Shareholders' equity
Share capital $10 convertible preferred shares, 10,000 shares authorized, 5,000 shares issued $570,000
Common shares, no par value, 200,000 shares authorized, 90,000 shares issued 1,800,000
Total share capital 2,370,000
Retained earnings 450,000
Total shareholders' equity $2,820,000
If one preferred share is convertible into 10 common shares, how many common shares are issued when 500 preferred shares are converted?