On January 1, 2009, Wirth Corporation had these shareholders' equity accounts:

Common shares (no par value, unlimited number of shares authorized, 110,000 shares issued) $1,100,000

Retained earnings 540,000

During the year, the following transactions occured:

Jan. 15 Declared a $1 per share cash dividend to shareholders of record on January 31, payable February 15

Apr. 15 Declared a 10% stock dividend to shareholders of record on April 30, distributable May 15. On April 15, the share price was $15

July 1 Effected a 2-for-1 stock split. On July 1, the share price was $20

Dec. 31 Determined that net earnings for the year were $350,000

31 The share price was $11 on this date

Instruction:

(a) Record the above transactions

(b) Open T accounts as required and post to the shareholders' equity accounts

(c) Prepare a statement of shareholders' equity for the year

(d) Prepare the shareholders' equity section of the balance sheet at December 31

(e) Calculate the dividend payout, dividend yield, and return on common shareholders' equity ratios.