Question

A corporate charter specifies that the company may sell up to 23 million shares of stock. The company sells 15 million shares to investors and later buys back 4.5 million shares. The number of authorized shares after these transactions are accounted for is: Multiple Choice 19 million shares. 23 million shares. 15 million shares. 11 million shares.

Answer 1

23 million shares

Step-by-step explanation:

The computation of the number of authorized shares after these transactions are shown below:

Since the corporate charter represent the company could sell till 23 million shares of stock so here the no of authorized shared after the transactions should be 23 million shares

So, the second option is correct

And, the same is to be considered