Rollins Corporation issued a 5 percent stock dividend on 10,000 shares of its ($ 10) par common

Question:

Rollins Corporation issued a 5 percent stock dividend on 10,000 shares of its $\$ 10$ par common stock. At the time of the dividend, the market value of the stock was $\$ 14$ per share.
Required

a. Compute the amount of the stock dividend.

b. Show the effects of the stock dividend on the financial statements using a horizontal statements model like the following one.

image text in transcribed

c. Prepare the journal entry to record the stock dividend.

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Related Book For book-img-for-question

Fundamental Financial Accounting Concepts

ISBN: 12

7th Edition

Authors: Thomas Edmonds

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Question Posted: May 16, 2024 12:02 PM

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Rollins Corporation issued a 5 percent stock dividend on 10,000 shares of its ($ 10) par common

Question:

Assets = Liab. + Com. Stock + PIC in Excess + Ret. Earn. Rev. - Exp. = Net Inc. Cash Flow

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Fundamental Financial Accounting Concepts

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