On October $31,$ the stockholders' equity section of Blossom Company consists of common stock $$250,000$ and retained earnings $$850,000.$

Blossom is considering the following two courses of action: $(1)$ declaring a $4\%$ stock dividend on the $25,000,$$$10$ par value shares outstanding,

or $(2)$ effecting a $2-$for$-1$ stock split that will reduce par value to $$5$ per share. The current market price is $$14$ per share.

Prepare a tabular summary of the effects of the alternative actions on the components of stockholders' equity, outstanding shares, and par

value per share.

Stockholders' equity

Paid$-$in capital

Common stock

In excess of par

Total paid$-$in capital

Retained earnings

Total stockholders' equity

Outstanding shares

Par value per share