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On October 31, the stockholders' equity section of Ivanhoe Company's balance sheet consists of common stock $332,000 and retained earnings $393,000. Ivanhoe is considering the
On October 31, the stockholders' equity section of Ivanhoe Company's balance sheet consists of common stock $332,000 and retained earnings $393,000. Ivanhoe is considering the following two courses of action: Declaring a 6% stock dividend on the 83,000 $4 par value shares outstanding Effecting a 2-for-l stock split that will reduce par value to $2 per share. The current market price is $16 per share. Prepare a tabular summary of the effects of the alternative actions on the company's stockholders' equity and outstanding shares
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