At its IPO, U.S. Shale sold 500,000 shares to the public and raised $4 million. (These are the only shares outstanding.) The par value of each share was $1. The company’s net common equity amounts to $5,700,000.

Calculate the following for U.S. Shale:

a) Common shares at par value

b) APIC (additional paid-in capital)

c) Retained earnings

Enter your answers with one decimal point, if applicable

Answer rating: 100% (QA)

a Common shares at par value Since the par value of each share is 1 and 500000 shares were sold the ... View the full answer