Author Question: Out of Africa had the following shareholders' equity section on its balance sheet as of December ... (Read 633 times)

roselinechinyere27m

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Out of Africa had the following shareholders' equity section on its balance sheet as of
  December 31.
 
  Preferred stock: 100 par, 6, cumulative 100,000
  Common stock: 1 par value 25,000
  Additional paid-in capital 300,000
  Retained earnings 57,000
 
  Calculate the following:
  a. Number of shares of preferred stock outstanding
  b. Number of shares of common stock outstanding
  What will be an ideal response?

Question 2

In the control matrix, the rows represent:
 a. control goals of the operations process
  b. recommended control plans including both present and missing controls
  c. control goals of the information process
  d. control goals of the management process



whitcassie

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Answer to Question 1

a. 100,00/100 par value = 1,000 preferred shares
b. 25,000/1 par value = 25,000 common shares

Answer to Question 2

B



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