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1 (of 7) E11-1 Computing Shares Outstanding [LO 11-1 The 2013 annual report for

ID: 2578677 • Letter: 1

Question

1 (of 7) E11-1 Computing Shares Outstanding [LO 11-1 The 2013 annual report for Golden Grains disclosed that 1 bilion shares of common stock have been authorized. At the end of 2012, 830 million shares had been issued and the number of shares in treasury stock was 115 million. During 2013, the only common share transactions were that 19 million common shares were reissued from treasury and 34 million common shares were purchased and held as treasury stock Required Determine the number of common shares (a) issued, (b) in treasury, and (c) outstanding at the end of 2013 (Enter your answers in millions.) Nu Common Shares (in millions) b) Treasury Stock

Explanation / Answer

Solution:

a) Issued Stock $830

(b) Treasury Stock $130

(c) Shares Outstanding $700

Working:

a) Issued Stock $830

(b) Treasury Stock $130

Balance at End of 2012 115

Shares Purchased in 2013 34

Shares Reissued in 2013 (19)

Balance at End of 2013 130

(c) Shares Outstanding $700

(Issued Stock $830 - Treasury Stock $130 )