Path: p QUESTION 12 Following is the stockholder\'s equity section of Sun Solder
ID: 2541239 • Letter: P
Question
Path: p QUESTION 12 Following is the stockholder's equity section of Sun Soldering, Inc. at December 31.2016: Stockholders' Equity Common stock-$0.15 par value, authorized 600,000 shares Additional paid-in capital Retained earnings Treasury stock-5,000 shares Total stockholders' equity $30,000 852,000 80,000 (95,000) $867000 Required: a Compute the number of shares that have been issued. b. At what average issue price were the shares issued? c. At what average cost were the treasury stock purchased? For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). Path: p QUESTION 13 Use the selected balance sheet and income statement information below tor Anka Ino. to compute the ratio provides. Current Assets Current LiabilitiesPretax Income and Subaai to sace and subit Ciek Sone AltAnss o see all ansuers interest ExoenseExplanation / Answer
12) a) No. of shares issued = Common Stock at Dec 31, 2016/Par value of share
= $30,000/$0.15 per share = 200,000 shares
b) Total issue price for shares = Common Stock+Additional paid in capital
= $30,000+$852,000 = $882,000
Total shares issued (calculated in part a) = 200,000 shares
Average issue price of share issued = Total issue price for shares/Total shares issued
= $882,000/200,000 shares = $4.41 per share
c) Average cost for treasury stock = Treasury Stock/Treasury Shares
= $95,000/5,000 shares = $19 per share