Montana Company Was Authorized to Issue 200,000 Shares of Common

question 65

Multiple Choice

Montana Company was authorized to issue 200,000 shares of common stock.The company had issued 50,000 shares of stock when it purchased 10,000 shares of treasury stock.After the purchase of treasury stock,the number of outstanding shares of common stock was which of the following?

• A)190,000
• B)60,000
• C)40,000
• D)50,000

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Definitions:

Flash Floods

Rapid flooding of geomorphologic low-lying areas, caused by heavy rain or other sudden water release.

Total Expenditures

The sum amount of all spending or expenses incurred by an individual or entity within a specific period.

Price Elasticity

How the requirement for a good shifts in relation to changes in its pricing.

Midpoint Method

A technique used to calculate elasticity by taking the average of the initial and final quantities and the initial and final values.