Question
On July 1, Davidson Corporation had the following capital structure: Common stock ($2 par value) Additional paid-in capital Retained earnings Treasury stock Required: $
On July 1, Davidson Corporation had the following capital structure: Common stock ($2 par value) Additional paid-in capital Retained earnings Treasury stock Required: $ 636,000 930,000 700,000 Complete the table below for each of the two following independent cases: Note: Round "Par value per share" amounts to 2 decimal places. Case 1: The board of directors declared and issued a 50 percent stock dividend when the stock was selling at $4 per share. Case 2: The board of directors announced a 6-for-5 stock split. The market price prior to the split was $4 per share. Before Dividend and Split After Stock Dividend After Stock Split Items Common stock account Par value per share $ 2.00 Shares outstanding Additional paid-in capital S 930,000 Retained earnings S 700,000 Total stockholders' equity
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