Consider excerpts from two balance sheets (amounts in millions):
Citigroup
Common stock ($.01 par value; authorized shares:
60 billion), issued shares 29,224,016,234 at
December 31, 2010 ............. $ 292
Additional paid-in capital ........... 101,024
IBM
Common stock, par value $.20 per share
and additional paid-in capital ......... $ 45,418
Shares authorized: 4,687,500,000
Shares issued: 2,161,800,054
1. How would the presentation of Citigroup stockholders’ equity accounts be affected if the company issued 500 million more shares for $25 cash per share?
2. How would the presentation of IBM’s stockholders’ equity accounts be affected if the company issued 1 million more shares for $180 cash per share? Be specific.