Bonita Company has had $4$ years of net income. Due to this success, the market price of its $386,500$ shares of $$4$ par value common

stock has increased from $$12$ per share to $$55.$ During this period, paid$-$in capital remained the same at $$2,470,000.$ Retained earnings

increased from $$1,890,000$ to $$11,500,000.$ President $E.$ Rife is considering either a $14\%$ stock dividend or a $2-$for$-1$ stock split.

Your answer is incorrect.

He asks you to show the before$-$and$-$after effects of each option on retained earnings.

Retained earnings after stock dividend $

Retained earnings after stock split

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Your answer is incorrect.

He asks you to show the before$-$and$-$after effects of each option on total stockholders' equity.

Total stockholders' equity after stock dividend $

Total stockholders' equity after stock split