23) Mr. R. owns 20,000 shares of ABC Corporation stock. The company is planning to

issue a stock dividend. Before the dividend Mr. R. owned 10 percent of the outstand-

ing stock, which had a market value of $200,000, or $10 per share. Upon receiving

the 10 percent stock dividend the value of his shares is

a. $210,000.

b. $200,000.

c. $220,000.

d. greater, but cannot be determined.

**** Note**** The answer is not (c. $220,000. )