Question

A company's stockholders' equity information follows: E: (Click on the icon to view the balance sheet.) What was the average selling price per share of common stock? $ 8 (Round to the nearest cent.) i Data Table Preferred stock, 9%, $200 par, cumulative Common stock, $2.10 par value Paid-in capital in excess of par, common stock 1,220,000 420,000 1,400,000 2,500,000 5,540,000 Retained earnings Total Print Done Done Enter your answer in the answer box and then click Check Answer.

Answer 1

	Amt in $
Common Stock Par Value	4,20,000
Paid-in-capital in excess of par, common stock	14,00,000
Total amount received on issue of Common Stock (A)	18,20,000
Number of Common Stock (B)	2,00,000
[420000/2.10]
Average Selling Price per Share $ (A)/(B)	9.10

Note: Preferred Stock will be excluded from the calculation of average selling price of common stock.

Paid up in excess of par is the value received by the company in excess of face value of shares at the time of issue of common stock.

Retained earning is the accumulated profit till date.