Early in 2008, Fess Industries was formed with authorization to issue 100,000 shares of P25 par...

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Early in 2008, Fess Industries was formed with authorization to issue 100,000 shares of P25 par value common stock and 20,000 shares of P100 par value cumulative preferred stock. During 2008, all the preferred stock was issued at par, and 60,000 shares of common stock were sold for P40 per share. The preferred stock is entitled to a dividend equal to 8% of its par value before any dividends are paid on the common stock. During its first five years of business (2008 through 2012), the company earned income totaling P4,500,000 and paid dividends of 75 cents per share each year on the common stock outstanding. On January 2, 2010, the company purchased 1,000 shares of its own common stock in the open market for P45,000. On January 2, 2012, it reissued 500 shares of this treasury stock for P26,000. The remaining 500 were still held in treasury at December 31, 2012, Compute for the following ending balances for 2012: APIC-Treasury Shares Compute for Compute for Number of shares outstanding Early in 2008, Fess Industries was formed with authorization to issue 100,000 shares of P25 par value common stock and 20,000 shares of P100 par value cumulative preferred stock. During 2008, all the preferred stock was issued at par, and 60,000 shares of common stock were sold for P40 per share. The preferred stock is entitled to a dividend equal to 8% of its par value before any dividends are paid on the common stock. During its first five years of business (2008 through 2012), the company earned income totaling P4,500,000 and paid dividends of 75 cents per share each year on the common stock outstanding. On January 2, 2010, the company purchased 1,000 shares of its own common stock in the open market for P45,000. On January 2, 2012, it reissued 500 shares of this treasury stock for P26,000. The remaining 500 were still held in treasury at December 31, 2012, Compute for the following ending balances for 2012: APIC-Treasury Shares Compute for Compute for Number of shares outstanding

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To compute for the APICTreasury Shares we need to first calculate the total amount of APIC Additiona... View the full answer