Exercise 11-15 1) declaring a 4% On October 31, the stockholders' equity section of Heins Company consists of common stock $300,000 and retained earnings $890,000. Heins is considering the following t o courses of action: stock dividend on the 30,000, $10 par value shares outstanding, or (2) effecting a 2-for-1 stock split that will reduce par value to $5 per share. The current market price is $16 per share. Prepare a tabular summary of the effects of the alternative actions on the components of stockholders' equity, outstanding shares, and par value per share. Before Action After Stock Dividend After Stock lit Stockholders' equity Paid-in capital Common stock In excess of par Total paid-in capital Retained earnings Total stockholders' equity s Outstanding shares Par value per share LINK TO TEXT VIDEO: SIMILAR EXERCISE