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If possible, can you please input answers onto the table to explain the answer? P11-11 Comparing Cash Dividends, Stock Dividends, and Stock Splits On January
If possible, can you please input answers onto the table to explain the answer?
P11-11 Comparing Cash Dividends, Stock Dividends, and Stock Splits On January 1, Biofuel Corporation had the following capital structure: $ Common stock ($0.10 par value) Additional paid-in capital Retained earnings Treasury stock Cash flows from financing activities 60,000 1,900,000 800,000 19,000 Required: Complete the table below for each of the three following independent cases: Case 1: The board of directors declared a cash dividend of $0.02 per share. Case 2: The board of directors declared and issued a 100 percent stock dividend when the stock was selling at $10 per share. Case 3: The board of directors announced a 2-for-1 stock split. The market price prior to the split was $10 per share. Items After Stock Dividend 60.000 After Stock Split $ 60,000 $ 0.05 Before Any After Cash Dividends Dividend 60,000 $ 0.10 600,000 $ 1,900,000 $ 1,900,000 $ 800,000 $ 2,760,000$ 2,748,000 $ 19,000 Common stock account Par per share Shares outstanding Additional paid-in captial Retained earnings Total stockholder's equity Cash flows from financing acitivities 1,200,000 $ 740,000 $ 800,000 $ 19,000Step by Step Solution
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