Enscoe enterprises, inc. (eei) has 260,000 shares authorized, 220,000 shares issued, and 30,000 shares of treasury stock. at this point, eei has $1,340,000 of assets. $200,000 liabilities, $500,000 of common stock, and $640,000 of retained earnings. further, assume that the market value of eei's common stock is $8 per share.

Allie and sarah decided that they want to purchase renters insurance for the apartment they share. they made a list of all of the items to be covered by the insurance policy, along with their estimated values. if the items to be covered total more than $3000, the insurance company charges an annual premium of 23% of the total value of the items. if the items to be covered total $3000 or less, the insurance company charges an annual premium of 20% of the total value of the items.