Exercise 15-10 For a recent 2-year period, the balance sheet of Cheyenne Company

Question

Exercise 15-10 For a recent 2-year period, the balance sheet of Cheyenne Company showed the following stockholders' equity data at December 31 (in millions) 2017 2016 Additional paid-in capital Common stock Retained earnings Treasury stock $ 920 657 7,190 1,786 $6,981 $818 648 5,260 928 $5,798 Total stockholders' equity Common stock shares issued Common stock shares authorized Treasury stock shares 219 500 38 216 500 29 (a) Answer the following questions (1) What is the par value of the common stock? (Round par value to 2 decimal places, e.g. $3.15. Par value of common stock (2) What is the cost per share of treasury stock at December 31, 2017, and at December 31, 2016? December 31, 2017 December 31, 2016 Cost per share of Treasury stock

Explanation / Answer

(a)(1) Par value of common stock: $3 2017: $657 million / 219 million = $3 2016: $648 million / 216 million = $3 (a)(2) December 31, 2017 December 31, 2016 Cost per share of Treasury stock $                               47 $                               32 ($1786 m / 38 m) ($928 m / 29 m) (b) Cheyenne Company Balance Sheet (in millions of dollars)(Partial) Stockholders' Equity: Paid-in Capital Common stock 657 Additional paid-in capital 920 Total paid-in capital 1577 Retained earnings 7190 Total paid-in capital and retained earnings 8767 Less: Treasury stock -1786 Total stockholders' equity 6981

Related Questions

Navigate

• Browse (All)
• Browse E
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.