Explore BrainMass

Preparation of Statement of Shareholder's Equity

See attached.

As of 2009, XYZ co. has the following information (millions)

Authorized shares 600
Issues shares of which 431
Outstanding shares 351
Treasury shares 80
Common shares ($0.25 par) 108
Additional paid in capital 377
Accumulated retained earnings 4,433
Treasury shares (2,880)
Other adjustments (838)

Net common equity (Book value) 1,199

During 2010, the company had some changes in common stock. Based on the following new information, fill out the blanks the table below.

Changes during 2010
o The company issued additional stocks: 30 million shares at the price of $24 per share.
o The net income as of 2010 is $120 million the company's payout ratio is 0.3.
o The company did a stock repurchase at the price of $30 per share for the amount of 4 million shares

Authorized shares _______
Issues shares of which ______
Outstanding shares ______
Treasury shares ______
Common shares ($0.25 par) ______
Additional paid in capital ______
Accumulated retained earnings ______
Treasury shares ______
Other adjustments (910)

Net common equity (Book value) _______


Solution Summary

The solution prepares Statement of Shareholder's Equity with the given data.