Blossom Company has had 4 years of record earnings. Due to this success, the market price of its 360,000 shares of $2 par value common stock has increased from $12 per share to $51. During this period, paid-in capital remained the same at $2,160,000. Retained earnings increased from $1,620,000 to $10,800,000. CEO Don Ames is considering either (1) a 15% stock dividend or (2) a 2-for-1 stock split. He asks you to show the before-and-after effects of each option on (a) retained earnings, (b) total stockholders' equity, and (c) par value per share. (a) 1 Stock dividend - retained earnings $ 8046000 2 2-for-1 stock split - retained earnings $ (b) Original Balances Paid-in capital $ 2160000 $ Retained earnings 10800000 After Dividend After Split 4914000 $ 8046000 2160000 10800000 Total stockholders' equity $ 12960000 $ 12960000 $ 12960000 Shares outstanding 360000