STOCK DIVIDENDS AND STOCK SPLITS. Lance Products’ balance sheet includes total assets of $320,000 and the following equity account balances at December 31, 19x3:

REQUIRED:
1. How much would Lance Products have reported for total assets and retained earn- ings on December 31, 19x3, if the firm had declared and paid a $10,000 cash divi- dend on December 31, 19x83? Provide the journal entry for this cash dividend. 2. How much would Lance have reported for total assets and retained earnings on December 31, 19x3, if the firm had issued a 10% stock dividend on December 31, 19x3? Provide the journal entry for this stock dividend.
3. How much would Lance have reported for total assets and retained earnings on December 31, 19x3, if the firm had effected a two-for-one stock split on December 31, 19x3? Is a journal entry needed to record the stock split? Why, or why not?

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Capital stock: Common stock, $5 par, 20,000 shares issued and outstanding Paid-in capital in excess of par Total capital stock Total stockholders' equity Retained earnings $100,000 44,000 144,000 53,600 $197,600 Lance's common stock is selling for $24 per share on December 31, 19x3.