QUESTION 4 1 Katie Company had 40.000 shares of $2 which of the tollowing statements incomectly describes the effect of recording the common stock dvidend? par value common stock outstandng pror to a 40% common stock dividend dedannon common stook The market vak" ofthe common stoa on re dedraten dat' wm S10 Retained earnings decreased 532 000 o Additional paid in captal remained the same . Asationar pais-in captal increased $128,000 Total stockholders' equity remaned the same