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Exercise 11-6 Dynatech Inc. is considering one of the three following courses of action: (1) paying a $0.60 cash dividend, (2) distributing a 6% stock

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Exercise 11-6 Dynatech Inc. is considering one of the three following courses of action: (1) paying a $0.60 cash dividend, (2) distributing a 6% stock dividend, or (3) effecting a 2-for-1 stock split. The current share price is $14 per share. C Help Dynatech make its decision by completing the following chart (treat each possibility independently): After Cash After Stock After Before Action Stock Split Dividend Dividend $1,154,000 1154000 Total assets 1154000 $ $ $238,000 Total liabilities 238000 238000 238000 $ Shareholders' equity Common shares 556,000 556000 Retained earnings 360,000 Total shareholders' equity 916,000 Total liabilities and shareholders' equity $1,154,000 100,000 Number of common shares

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