Question

M11-2 (Algo) Computing the Number of Unissued Shares LO11-1 The balance sheet for Ronlad Corporation reported 172,000 shares outstanding, 270,000 shares authorized, and 22,000 shares in treasury stock. How many shares have been issued

Answer 1

Answer: 194,000 shares

Step-by-step explanation:

Shares are issued from the number of shares authorized. The company can then decided to repurchase some of these issued shares and make them treasury stock.

Issued shares will therefore be the sum of shares outstanding and treasury shares

= 172,000 + 22,000

= 194,000 shares