Question

The following data has been collected about Keller Company's stockholders' equity accounts: Common stock $10 par value 20,000 shares authorized, 10,000 shares issued, and 9,000 shares outstanding $100,000 Paid-in capital in excess of par value, common stock 50,000 Retained earnings 25,000 Treasury stock 11,500 Assuming the treasury shares were all purchased at the same price, the number of shares of treasury stock is:

Answer 1

Answer:

1,000

Explanation:

Keller's company stockholder account has a common stock of $10 per value

20,000 shares authorized

10,000 shares Issued

9,000 shares outstanding

$100,000 paid in capital in excess of per value.

Common stock of 50,000.

Therefore the number of shares of treasury stock can be calculated as follows

= shares Issued-shares outstanding

= 10,000-9,000

= 1,000

Hence the number of shares of treasury stock is 1,000