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Topic
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Becker Question –
Im having a hard time understanding this: This is F7, question 6 on the stockholders equity section
Q: Asp Co. was organzied on jan 2, yr1, with 30,000 authorized shares of $10 par common stock. During year1, the corp had the following:
jan 15 – issued 20,000 sh at $15 per share
july 14 – purchased 5,000 shares at $17 per share
dec 27 – reissued the 5,000 sh held in treasury at $20 per share
A:
$125,000
Can someone please explain why for the july 14 J/E there is APIC or $25,000 ($5 orig APIC/sh * 5000 sh)
where does this $5 orig APIC/sh come from??? And why is there RE to this entry?
A - 75
B - 78 God is good.
F - 77 Answered prayers.
R - 84! Done!!Paperwork sent - waiting for license!!
Still on a cloud and in shock. Through God, all things will happen.
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