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a. If the firm declares a 3-for-2 stock split, the new balance in the common stock account after the split is $ (Round to the

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a. If the firm declares a 3-for-2 stock split, the new balance in the common stock account after the split is $ (Round to the nearest dollar.) The new balance in the paid-in capital in excess of par account after the stock split is nearest dollar.) The new balance in the retained earnings account after the stock split The balance in the total stockholder's equity account after the split is $ The market price per share after the 3-for-2 stock split is c. The maximum cash dividend per share the firm could pay before the split is nearest cent.) The maximum cash dividend the firm could pay after the split is $ d. Contrast your answers to parts a through c with the circumstances surrounding a 50% stock dividend. If the firm declares a 50% stock dividend, the balance in the common stock account after the dividend is $ (Round to the nearest dollar.) The balance in the paid-in capital account after the dividend is $ The balance in the retained earnings account after the dividend The balance in the total stockholder's equity account after the stock dividend is $ nearest dollar.) The new market price per share after the dividend is $. (Round to the r The maximum cash dividend the firm could pay before the stock dividend is nearest cent.) The maximum cash dividend the firm could pay after the stock dividend is nearest cent.) Stock split versus stock dividend-Firm Mammoth Corporation is considering a 3-for-2 stock split. It currently has the stockholders' equity position shown. The current stock price is $120 per share. The most recent period's earnings available for common stock is included in retained earnings. a. What effect on Mammoth's equity account would result from the stock split? b. What change in stock price would you expect to result from the stock split? c. What is the maximum cash dividend per share that the firm could pay on common stock before and after the stock split? (Assume that legal capital includes all paid-in capital.) d. Contrast your answers to parts a through c. with the circumstances surrounding a 50% stock dividend. e. Explain the differences between stock splits and stock dividends

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