Stock dividendFirm:Columbia Paper has the following stockholders' equity account. The firm's common stock has a current market price of $33 per share.

Preferred stock $110,000

Common stock ( 12,000shares at $4 par) 48,000

Paid-in capital in excess of par 348,000

Retained earnings 80,000

Total stockholders' equity $586,000

a.Show the effects on Columbia of a 15% stock dividend.

Part 1-The preferred stock of Columbia after a % stock dividend is $ (Round to the nearest dollar.)

Part 2-The common stock of Columbia after a % stock dividend is $ (Round to the nearest dollar.)

Part 3- The paid-in capital of Columbia after a 15% stock dividend is $ (Round to the nearest dollar.)

Part 4- The retained earnings of Columbia after a 15% stock dividend is $ (Round to the nearest dollar.)

Part 5- The total stockholder's equity of Columbia after a 15% stock dividend is $ (Round to the nearest dollar.)

b.In light of your answers to part a, discuss the effects of a stock dividend on stockholders' equity. Question content area bottom