On October 31, the stockholders? equity section of Heins Company consists of common stock $275,000and retained earnings $885,000. Heins is considering the following two courses of action: (1) declaring a4% stock dividend on the27,500, $10par value shares outstanding, or (2) effecting a 2-for-1 stock split that will reduce par value to $5per share. The current market price is $14per 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.

Home Read, Study & Practice Gradebook ORION Assignment > Open Assignment HE ASSIG N M ENT RESOURCES Assignment Ch 14 Exercise 14-1 Exercise 14-3 Exercise 14-6 Problem 14-5A Review Score Review Results by Study gajective Mobile Site MESSAGE MY INSTRUCTOR Exercise 14-4 On October 31, the stockholders' equity section of Heins Company consists of common stock $275,000 and FULL SCREEN PRINTER VERSION 4 BACK retained earnings $885,000. Heins is considering the following two courses of action: (1) declaring a 4% stock dividend on the 27,500, $1O 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. ---,----- At? 7 .- ' ' s-..7 "LH' , - ih f'. it" on". . -f.7--V fille- ' '-- ' l) 'I i V l ' a - - Stockholders' equity Paid-in capital Common StOCk $ 275000 $ 276375 $ 275000 Outstanding shares Total paid-in capital Retained earnings Par value per share gg; LINK TO TEXT l