The stockholders’ equity section of Creighton Company’s balance sheet is shown as follows:

Required
a. Assuming the preferred stock was originally issued for cash, determine the amount of cash that was collected when the stock was issued.
b. Based on the class B common stock alone, determine the amount of the company’s legal capital.
c. Based on the class B common stock alone, determine the minimum amount of assets that must be retained in the company as protection for creditors.
d. Determine the number of shares of class B common stock that are available to sell as of December 31, Year 3.
e. Assuming Creighton purchases treasury stock consisting of 50 shares of its no par common stock on January 1, Year 4, determine the amount of the no-par common stock that would be outstanding immediately after the purchase.
f. Based on the stockholders’ equity section shown earlier, can you determine the market value of the preferred stock? If yes, what is the market value of one share of this stock?

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CREIGHTON COMPANY As of December 31, Year 3 Stockholders' equity Preferred stock, $6 stated value, 6% cumulative, 250 shares authorized, 100 issued and outstanding Common stock, $6 par value, 200 shares authorized, 150 issued and outstanding Common stock, class B, $8 par value, 450 shares authorized, 100 issued and outstanding Common stock, no par, 200 shares authorized, 150 issued and outstanding Paid-in capital in excess of stated value-preferred Paid-in capital in excess of par value-common Paid-in capital in excess of par value-class B common Retained earnings 600 900 800 1,800 400 900 800 9,000 Total stockholders' equity $15,200