On October 31, the stockholders' equity section of Crane Corporation's balance sheet consists of common stock...

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On October 31, the stockholders' equity section of Crane Corporation's balance sheet consists of common stock $655,200 and retained earnings $872,000. Crane is considering the following two courses of action: (1) declaring a 7% stock dividend on the 81,900 $8 par value shares outstanding or (2) effecting a 2-for-1 stock split that will reduce par value to $4 per share. The current market price is $14 per share. Prepare a tabular summary of the effects of the alternative actions on the company's stockholders' equity and outstanding shares. Before Action ders' d ders' ling +A $ 0 $ 872,000 After Stock Dividend 0 872,000 After Stock Split +A $ 327,600 872,000 $ 1,527,200 $ 1,581,616 $ 1,527,200 81900 87,633 163,800 On October 31, the stockholders' equity section of Crane Corporation's balance sheet consists of common stock $655,200 and retained earnings $872,000. Crane is considering the following two courses of action: (1) declaring a 7% stock dividend on the 81,900 $8 par value shares outstanding or (2) effecting a 2-for-1 stock split that will reduce par value to $4 per share. The current market price is $14 per share. Prepare a tabular summary of the effects of the alternative actions on the company's stockholders' equity and outstanding shares. Before Action ders' d ders' ling +A $ 0 $ 872,000 After Stock Dividend 0 872,000 After Stock Split +A $ 327,600 872,000 $ 1,527,200 $ 1,581,616 $ 1,527,200 81900 87,633 163,800