Problem - Analysis of Equity Data and Equity Section Preparation
For a recent 2-year period, the balance sheet of Santana Dotson Company showed the following stockholders' equity data at December 31 in millions.
2007 2006
Additional paid-in capital $ 931 $ 817
Common stock-par 545 540
Retained earnings 7,167 5,226
Treasury stock 1,564 918
Total stockholders' equity $7,079 $5,665
Common stock shares issued 218 216
Common stock shares authorized 500 500
Treasury stock shares 34 27
Instructions
(a) Answer the following questions.
(1) What is the par value of the common stock?
(2) What is the cost per share of treasury stock at December 31, 2007, and at December 31, 2006?
(b) Prepare the stockholders' equity section at December 31, 2007.