Assume abcs transactions with shareholders during 2011


ABC's December 31, 2010 and 2011 balance sheet lists shareholders' equity of $800,000 and $900,000 respectfully. Assume ABC's transactions with shareholders during 2011 included (1) dividends declared and paid in the amount of $50,000 and (2) stock options exercised with an exercise price of $75,000, but with a market value of $200,000, and (3) treasury repurchases (i.e., stock buybacks) of $200,000 for shares that were originally issued for $50,000. What is the 2011 net income assuming no other comprehensive income?

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Finance Basics: Assume abcs transactions with shareholders during 2011
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