Early in 2020, Sporty corporation issued 150,000 common shares ($ 1 par value)

Accounting Jan 23, 2021

Early in 2020, Sporty corporation issued 150,000 common shares ($ 1 par value). During the year, the company purchased 20,000 of these shares as Treasury stock. After that, a 10% stock dividends was declared and distributed to shareholders.
At year end, a stock split of 1: 2 was approved and implemented by the company.
The number of issued shares at year end is...................
please help me before 15 min

Expert Solution

Answer

Common Shares issued = 150,000

less treasury stock (20,000)

130,000

Add : 10 % stock dividend = + 13,000

143,000

Stock split 1 : 2 = 2 x 143,000 = 286,000 shares

No of shares at the end = 286,000 shares

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