Question

The charter of vista west corporation specifies that it is authorized to issue 212,000 shares of common stock. since the company was incorporated, it has sold a total of 160,000 shares (at $16 per share) to the public. it has bought back a total of 16,000. the par value of the stock is $4. when the stock was bought back from the public, the market price was $21.

Answer 1

Answer:

$144,000

Explanation:

To solve the given problem, we are given the following values below

Authorized shares = $212,,000

Issued shares = $160,000

Bought back shares = $16,000

Now to calculate the outstanding shares, we use the following method

Outstanding shares = sold/ issued share - bought back

Substituting the values we have

Outstanding shares = $160,000 - $16,000

Outstanding shares = $144,000