For Parts 2 and 3

Problem 10-86A (Algorithmic) Stock Dividends and Stock Splits Lance Products balance sheet includes total assets of $587,000 and the following equity account balances at December 31, 2019: Common stock, $2 par, 80,000 shares issued and outstanding $160,000 Additional paid-in capital-common stock 24,000 Total capital stock $184,000 Retained earnings 217,000 Total stockholders' equity $401,000 Lance's common stock is selling for $11 per share on December 31, 2019. Requiredi 1. How much would Lance Products have reported for total assets and retained earnings on December 31, 2019, If the firm had declared and paid a $20,000 cash dividend on December 31, 2019? 567,000 Total assets Retained earnings 197,000 1. Consider how the debits and credits to the accounts affected in the jumal entry necessary to record the transactions offect total assets and retained earnings Prepare the journal entry for this cash dividend. 2019 Dec 31 Retained Earnings (or Dividends) 20,000 Cash 30.000 Prepare the journal entry for this cash dividend. 2019 Dec. 31 Retained Earnings (or Dividends) 20.000 20,000 (Record declaration and payment of dividend) Check My Work 1. Consider how the debits and credits to the accounts affected in the journal entry necessary to record the transactions affect totalasses and retained earings 2. How much would Lance have reported for total assets and retained earnings on December 31, 2019, if the firm had issued a 15% stock dividend on December 31, 2019? Total assets 587,000 Retained earnings 529,950 X Check My W 2. Consider how the debits and credits to the accounts acted in the journal entry necessary to record the transactions are total assets and retained earnings. Prepare the journal entry for this stock dividend. 2019 Dec. 31 Retained Earnings Common Stock Il Additional Paid-In Capital-Common Stock Prepare the journal entry for this stock dividend. 2019 Dec 31 Retained Earnings Common Stock 111 111 Additional Paid-In Capital-Common Stock (Record small stock dividend) 2. Consider how the debits and credits to the accounts affected in the joumal entry necessary to record the transactions affect total assets and retained camings 3. Conceptual Connection: How much would Lance have reported for total assets and retained earnings on December 31, 2019, if the firm had effected a 2-for-1 stock split on December 31, 2019 Total assets Retained earnings Is a journal entry needed to record the stock split? No Check My Work 3. Consider how the debits and credits to the accounts affected in the journal entry necessary to record the transactions affect totale and retained earings Oh My