1. Caradonna Company has 100,000 shares of $5 par common stock issued and outstanding as of January 1, 20X5. The shares were originally issued for $22 per share. On February 3, 20X5, Caradonna repurchased 5,000 shares at $19 per share for the purposes of retiring them. On April 10, 20X5, Caradonna repurchased an additional 2,000 shares at $25 per share. No other transactions involving common stock occurred during the year. What will be the balance in additional paid in capital from retired stock as a result of those transactions?

$0

$21,000

$15,000

$9,000

2.Cansay Co. has 100,000 shares of $10 par value common stock and 5,000 shares of $100 par value 5% cumulative preferred stock outstanding. No dividends had been paid in either 20X5 or 20X6. Cansay Co. is planning to pay a cash dividend in 20X7.

If the cash dividend is for $60,000 in total, how much will be received by common stockholders?

$0

$70,000

$10,000

$35,000