Question

The following data is available for Sheffield Corp. at December 31, 2017: Common stock, par $10 (authorized 29000 shares) $203,000 Treasury stock (at cost $15 per share) $825 Based on the data, how many shares of common stock are outstanding?

Answer 1

There are 28,175 shares of common stock outstanding.

Step-by-step explanation:

To determine the number of shares of common stock that are outstanding, we need to subtract the Treasury stock from the authorized shares.

In this case, the authorized shares are 29,000 and the Treasury stock is 825. Therefore, the outstanding shares of common stock would be:

Outstanding Shares = Authorized Shares - Treasury Stock

Outstanding Shares = 29,000 - 825

Outstanding Shares = 28,175

So, there are 28,175 shares of common stock outstanding.