Question 23 (3 points)
The Torre Company has the following stockholders’ equity account balances in stockholders equity on December 31. Common Stock – $5 par, 500,000 shares authorized $340,000 Paid-In Capital in Excess of Par—Common Stock 600,000 Preferred Stock – $100 par, 100,000 shares authorized590,000 Paid-In Capital in Excess of Par—Preferred 140,000 Retained Earnings 270,000 Treasury Stock (cost – $10 per share) 130,000
How many shares of common stock are outstanding?
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Question 24 (3 points)
The Torre Company has the following stockholders’ equity account balances in stockholders equity on December 31. Common Stock – $5 par, 60,000 shares issued $400,000 Paid-In Capital in Excess of Par—Common Stock 610,000 Preferred Stock – $100 par, 5,000 shares issued 520,000 Paid-In Capital in Excess of Par—Preferred 190,000 Retained Earnings 240,000 Treasury Stock (cost – $10 per share) 120,000
If net income for the year was $85,000 and a preferred stock dividend of $40,000 was paid, what was the beginning value of retained earnings?
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