Chapter 11 - Reporting and Interpreting Owners’ Equity
E11–7.
Req. 1
a. Cash (50,000 shares x $50) (+A) .......................................... 2,500,000 Common stock (50,000 shares x $2) (+SE) ...................... 100,000 Capital in excess of par, common stock (+SE) .................. 2,400,000 Sold common stock at a premium. b.
Treasury stock (2,000 shares x $52) (+XSE, -SE) ................ Cash (-A) ........................................................................... Bought treasury stock.
104,000
104,000
Req. 2
Stockholders’ Equity
Contributed capital: Common stock, par $2, authorized 80,000 shares, issued 50,000 shares .......................................................................... $ 100,000 Contributed capital in excess of par ........................................................ 2,400,000 Total contributed capital .......................................................................... 2,500,000 Treasury stock............................................................................................ (104,000 ) Stockholders’ equity ................................................................................... E11–8.
Shareholders’ equity (deficit) in thousands:
Common stock, par value $.01 per share; 100,000,000 shares authorized, 33,981,509 shares issued and outstanding at December 31, 2010, 34,150,389 shares issued and outstanding at December 31, 2011 Additional paid-in capital Accumulated deficit
Total shareholders’ equity
2010 2011 340 342 198,304 200,524 (118,282 ) (98,733 ) 80,362 102,133