Q1. Common Products has just made its first issue of stock. It raised $1.4 million by selling 50,000 shares of stock to the public. These are the only shares outstanding. The par value of each share was $3. Complete the following table with explanation: (Enter your answers in dollars, not in millions.). (3 Marks) (Ch 14)
Common stock (par value)
Additional paid-in capital
Retained earnings
Net common equity    $2,000,000

Q2. The authorized share capital of the Alfred Cake Company is 140,000 shares. The equity is currently shown in the company’s books as follows: (Ch 14)
Common stock ($1 par value)    $    76,000
Additional paid-in capital         26,000
Retained earnings         46,000
Common equity    $    148,000
Treasury stock (1,000 shares)         20,000
Net common equity    $    128,000

a.    How many shares are issued? (0.5 Mark)
b.    How many shares are outstanding? (0.5 mark)
c.    How many more shares can be issued without the approval of shareholders? (1 mark)