Reference no: EM13856312

Accounting for Share Transactions:

The shareholder's equity section of the consolidated balance sheet of CompX international appeared as follows at the beginning of the year:

Shareholders' Equity
Class A common stock, $0.01 par value; 20,000,000 shares authorized;
6,100,000 shares issued	$61,000
Additional paid-in-capital	118,127,000
Retained earnings	14,270,000
Currency translation adjustment	(2,412,000)
Total equity	$130,046,000

The following events occurred sequentially during the year:

1. A 2-for-1 forward stock split was executed.

2. A ten percent stock dividend was distributed when the CompX share price was $20 per share.

3. Treasury stock valued at $3,000,000 was repurchased when the CompX share price was $15 per share.

Required:

1. How many Class A common shares are outstanding following the above events?

2. What is the par value per share are outstanding following the above events?

3. Prepare a spreadsheet to illustrate the financial effects associated with the above share transactions.

4. Calculate the total value of shareholders equity following the above events.