This week, the assignment focuses on treasury stock. Treasury stock becomes part of the company’s holdings when previously issued stock is repurchased by the company. Rather than paying dividends to stockholders, the company’s board of directors can offer cash for shares of ownership. The stockholder who surrenders shares for cash also relinquishes shares of ownership in the company.
When the company engages in repurchases of stock, the stock may be held for future reissue or may be retired. Once the stock is retired, it cannot be reissued. It is important to note that repurchases of stock do not affect the cash position of the company because total assets and total liabilities are not affected by the transaction. Accountants must enter a memorandum of the transaction to show the decrease in the number of outstanding shares.
For the assignment, write a paper to address the issues below. Begin by retrieving 2016 Under Armour financial statements at www.sec.gov by clicking on Filings and then searching for Under Armour under Company Filings. When you see the list of filings for the company, select the Form 10-K for 2016. Be sure to retrieve the 2016 financial statements, not any other year. In particular, this case uses the company’s Consolidated Balance Sheets and Consolidated Statements of Stockholders’ Equity for the year 2016. Include a reference and web link to the Form 10-K in your paper.
In your paper, address the following:
Give an overview of the company.
As of the end of December 31, 2016, determine how many shares of common stock the company has authorized? Issued? Outstanding? Explain who benefits from this information.
Refer to Note 7 – Stockholders’ Equity for the year 2016. What is the difference between Under Armour’s Class A Common Stock and Class B Convertible Common Stock? Are there any restrictions on who can own Class B stock? If you had $10,000 to invest in Under Armour stock, which class of stock would you purchase and why?
Did the company issue any new shares of Class A Common Stock during 2016? How can you tell?
Prepare a T-account to show the beginning and ending balances plus all activity in Retained Earnings for 2016.
If you had invested $5,000 in Class A stock and $5,000 in Class B on December 31 of 2016, what would be the value based on today’s share price? Would you sell your shares or hold for another year?
Why Work with Us
Top Quality and Well-Researched Papers
We always make sure that writers follow all your instructions precisely. You can choose your academic level: high school, college/university or professional, and we will assign a writer who has a respective degree.
Professional and Experienced Academic Writers
We have a team of professional writers with experience in academic and business writing. Many are native speakers and able to perform any task for which you need help.
Free Unlimited Revisions
If you think we missed something, send your order for a free revision. You have 10 days to submit the order for review after you have received the final document. You can do this yourself after logging into your personal account or by contacting our support.
Prompt Delivery and 100% Money-Back-Guarantee
All papers are always delivered on time. In case we need more time to master your paper, we may contact you regarding the deadline extension. In case you cannot provide us with more time, a 100% refund is guaranteed.
Original & Confidential
We use several writing tools checks to ensure that all documents you receive are free from plagiarism. Our editors carefully review all quotations in the text. We also promise maximum confidentiality in all of our services.
24/7 Customer Support
Our support agents are available 24 hours a day 7 days a week and committed to providing you with the best customer experience. Get in touch whenever you need any assistance.
Try it now!
How it works?
Follow these simple steps to get your paper done
Place your order
Fill in the order form and provide all details of your assignment.
Proceed with the payment
Choose the payment system that suits you most.
Receive the final file
Once your paper is ready, we will email it to you.
No need to work on your paper at night. Sleep tight, we will cover your back. We offer all kinds of writing services.
No matter what kind of academic paper you need and how urgent you need it, you are welcome to choose your academic level and the type of your paper at an affordable price. We take care of all your paper needs and give a 24/7 customer care support system.
Admission Essays & Business Writing Help
An admission essay is an essay or other written statement by a candidate, often a potential student enrolling in a college, university, or graduate school. You can be rest assurred that through our service we will write the best admission essay for you.
Our academic writers and editors make the necessary changes to your paper so that it is polished. We also format your document by correctly quoting the sources and creating reference lists in the formats APA, Harvard, MLA, Chicago / Turabian.
If you think your paper could be improved, you can request a review. In this case, your paper will be checked by the writer or assigned to an editor. You can use this option as many times as you see fit. This is free because we want you to be completely satisfied with the service offered.