The equity sections from Atticus Group's 2013 and 2014 year-end balance sheets follow.
Stockholders' Equity (December 31, 2013)
Common stock-$4 par value, 100,000 shares authorized, 40,000 shares issued and outstanding 160,000
Paid-in capital in excess of par value, common stock 120,000
Retained earnings 320,000
Total stockholders' equity $600,000
Stockholders' Equity (December 31, 2014)
Common stock-$4 par value, 100,000 shares authorized, 47,400 shares issued, 3,000 shares in treasury $189,600
Paid-in capital in excess of par value, common stock 179,200
Retained earnings ($30,000 restricted by treasury stock) 400,000 768,800
Less cost of treasury stock (30,000)
Total stockholders' equity $738,800
The following transactions and events affected its equity during year 2014.
Jan. 5 Declared a $0.50 per share cash dividend, date of record January 10
Mar. 20 Purchased treasury stock for cash.
Apr. 5 Declared a $0.50 per share cash dividend, date of record April 10.
July 5 Declared a $0.50 per share cash dividend, date of record July 10
July 31 Declared a 20% stock dividend when the stock's market valueis $12 per share.
Aug. 14 Issued the stock dividend that was declared on July 31.
Oct. 5 Declared a $0.50 per share cash dividend, date of record October 10.
4. Required information
Required:
1. How many common shares are outstanding on each cash dividend date?
Outstanding common shares for Jan, 5 Apr 5 July 5 October 5
5. What is the total dollar amount for each of the four cash dividends?
Cash dividend amounts for Jan 5 Apr 5 July 5 Oct. 5
6. What is the amount of the capitalization of retained earnings for the stock dividend?
Capitalization amount_______
7. What is the per share cost of the treasury stock purchased?
Cost per share__________
8. How much net income did the company earn during year 2014?
Net income________________.