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Sandhill Inc. is considering one of three options: (1) paying a $0.43 cash dividend. (2) distributing a 6% stock dividend, or (3) effecting a 4-for-1

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Sandhill Inc. is considering one of three options: (1) paying a $0.43 cash dividend. (2) distributing a 6% stock dividend, or (3) effecting a 4-for-1 stock split. The current fair value is $15 per share. Help Sandhill decide what to do by completing the following chart (treat each possibility independently): Before Action After Cash Dividend After Stock Dividend After Stock Split Total assets $1,906,000 Total liabilities $67.000 $ Common shares 1,302,000 Retained earnings 537.000 Total shareholders equity 1.839,000 $1.906.000 $ Total liabilities and shareholders equity Number of common shares 62,000

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