can you please explain as well?

CH13 Graded Written Homework Problem 1 In some cases, companies elect to pay dividends to stockholders in the form of additional shares of stock instead of cash. A stock dividend is normally declared only on common stock and issued to common stockholders. An analysis of Cheerios, Inc.'s common stock is as follows: Shares authorized Shares issued Shares outstanding Number of Common Shares 450,000 325,000 310,000 On February 1, Cheerios, Inc. declared a 8% stock dividend for its common stockholders. The stock dividend will be distributed on March 1 for holders of record on February 16. Cheerios, Inc.'s common stock has a par value of $2 per share. Complete the table to reflect the correct number of common shares in the company after the stock dividend is distributed. (Hint: Remember, the number of shares declared (and distributed) are calculated using outstanding shares because only outstanding shares receive dividends.) Number of Common Shares Shares authorized Shares issued Shares outstanding On February 1, the market price of Cheerios, Inc.'s common stock was $9 per share. On February 16, the market price of Cheerios, Inc.'s common stock was $9.25 per share. On March 1, the market price of Cheerios, Inc.'s common stock was $8.90 per share. Complete the necessary journal entries that Cheerios, Inc. made in order to account for the declaration and distribution of its stock dividend. Cheerios, Inc. had issued stock only one time before the stock dividend described earlier, al price of 57 per share. Cheerios, Inc. has never issued preferred stock. Complete the chart below that represents stockholders' equity before the stock dividend is declared and after the stock dividend is declared and distributed. Show your work below the table for any credit to be awarded.) Balance before the Stock Dividend Balance after the Stock Dividend Common Stock Pald-in Capital in Excess of Par- Common Stock Retained Earnings 3,000,000 Treasury stock (60,000) Total Stockholders' Equity How much per share did Cheerios, Inc. pay for the treasury stock? What effect does a stock dividend have on the company's total assets? Defend your answer. Suppose before the stock dividend, Tom Red owned 12,400 shares of Cheerios Inc.'s stock, or 4% of the shares outstanding. After the stock dividend, Red would own shares, which represents percent of the new total shares outstanding