Questions by vivienne06 - Page 13
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 $ 5,800 Common stock, $1 par value 28,000 Additional paid-in capital 1,028,600 Total paid-in capital 1,062,400 Retained earnings 286,000 Treasury stock, 12,000 Common shares (360,000) Total stockholders' equity $ 988,400 Based on the stockholders' equity section of Velcro World, answer the following questions. Remember that all amounts are presented in thousands.1. How many shares of preferred stock have been issued? (Enter you answer in total number of shares, not in thousands.)2. How many shares of common stock have been issued? (Enter you answer in total number of shares, not in thousands.)3. If the common shares were issued at $30 per share, at what average price per share were the preferred shares issued?4. If retained earnings at the beginning of the period was $250 million and $30 million was paid in dividends during the year, what was the net income for the year? (Enter your answer in million (i.e., 5,000,000 should be entered as 5).)5. What was the average cost per share of the treasury stock acquired?
State the effect (cash receipt or payment and amount) of each of the following transactions, considered individually, on cash flows: Retired $400,000 of bonds, on which there was $3,000 of unamortized discount, for $411,000. Sold 20,000 shares of $5 par common stock for $22 per share. Sold equipment with a book value of $55,800 for $60,000. Purchased land for $650,000 cash. Purchased a building by paying $50,000 cash and issuing a $450,000 mortgage note payable. Sold a new issue of $500,000 of bonds at 98. Purchased 10,000 shares of $40 par common stock as treasury stock at $50 per share. Paid dividends of $1.50 per share. There were 1,000,000 shares issued and 120,000 shares of treasury stock.]Amounta.$b.$c.$d.$e.$f.$g.$h.$