Dividends and Stock Splits Pictures Bizarre inc. has 2,000,000 shares of authorized 50.50 par value common stock. They have issued 275,000 shares and have capital in excess of par ("Additional Paid in Capitar") of $1,500,000. The company does not have any treasury stock. 1. On March 5m,, 1 . Pictures Bizarre inc, declared a $0.50 per common share dividend for stockholders of record on March 15 , to be paid on March 23" What are the entries on March 5, March 15t and March 231 ? 2. On April 20, 1, Pictures Bizarre Inc, executes a 5 -for-1 stock split. Shortly before the stock split, Pictures Biuarre inc. repurchased so.coo of their own shares at $5,00/ share. Please prepare the JE, then report the number of shares authoriaed, issued, and outstanding, as well as the shate's par value. 3. A stockholder owned 22,500 shares of stock before the stock split or 10% of total shares outstanding. AFTER the stock split, how many shares and what percentage ownership does this stockholder have? 4. Now assume the stock split did not occur. Instead, on April 20, x1, Pictures Birarre Inc. declares a 2016 stock dividend, to be paid on Apnl 20 for shareholders of record on April 20. The market value of the stock is $50 at the date of declaration. What is the journal entry? 5. A stockholder owned 55,000 shares of stock before the stock dividend or 20% of total shares outstanding. AmTER the stock dividend, how many shares and what percentage ownership does this stockholder have? Dividends and Stock Splits Pictures Bizarre inc. has 2,000,000 shares of authorized 50.50 par value common stock. They have issued 275,000 shares and have capital in excess of par ("Additional Paid in Capitar") of $1,500,000. The company does not have any treasury stock. 1. On March 5m,, 1 . Pictures Bizarre inc, declared a $0.50 per common share dividend for stockholders of record on March 15 , to be paid on March 23" What are the entries on March 5, March 15t and March 231 ? 2. On April 20, 1, Pictures Bizarre Inc, executes a 5 -for-1 stock split. Shortly before the stock split, Pictures Biuarre inc. repurchased so.coo of their own shares at $5,00/ share. Please prepare the JE, then report the number of shares authoriaed, issued, and outstanding, as well as the shate's par value. 3. A stockholder owned 22,500 shares of stock before the stock split or 10% of total shares outstanding. AFTER the stock split, how many shares and what percentage ownership does this stockholder have? 4. Now assume the stock split did not occur. Instead, on April 20, x1, Pictures Birarre Inc. declares a 2016 stock dividend, to be paid on Apnl 20 for shareholders of record on April 20. The market value of the stock is $50 at the date of declaration. What is the journal entry? 5. A stockholder owned 55,000 shares of stock before the stock dividend or 20% of total shares outstanding. AmTER the stock dividend, how many shares and what percentage ownership does this stockholder have
