Bonner Company began business this year and immediately sold 600,000 common shares for $18,500,000 cash...
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Accounting
Bonner Company began business this year and immediately sold 600,000 common shares for $18,500,000 cash and paid $1,000,000 in common dividends. At midyear, the firm bought back some of its own shares. The company reports the following additional information at year-end:
Net income
$5,200,000
Common stock, at par
$5,400,000
Retained earnings beginning of year
$0
Common shares authorized:
1,000,000
Common shares outstanding at years end:
540,000
a. What was the average sales price of a common share when issued? Round to two decimal places. $Answer
b. What is the par value of the common? $Answer c. How much is in the Additional paid-in capital account at the end of the year? $Answer d. Determine the retained earnings amount at the end of the year. $Answer e. How many shares of stock are in the treasury at the end of the year? Answer f. Compute BEPS. Round to two decimal places. $Answer
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