On October 31, the stockholders equity section of Pele Companys balance sheet consists of common stock $644,000and retained earnings $414,000.

Pele is considering the following two courses of action:

(1)	Declaring a6% stock dividend on the80,500$8par value shares outstanding
(2)	Effecting a 2-for-1 stock split that will reduce par value to $4per share.

The current market price is $17per share.

Prepare a tabular summary of the effects of the alternative actions on the companys stockholders equity and outstanding shares.

Pele Companys Balance Sheet
Before Action	After Stock Dividend	After Stock Split
Stockholders equity
Paid-in capital	$	$	$
Retained earnings
Total stockholders equity	$	$	$
Outstanding shares