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Sunland Company has an investment in 19700 shares of Blossom Company common stock with a cost of $876000. These shares are used in a property

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Sunland Company has an investment in 19700 shares of Blossom Company common stock with a cost of $876000. These shares are used in a property dividend to stockholders of Sunland's. The property dividend is declared on May 25 and scheduled to be distributed on July 31 to stockholders of record on June 15. The fair value per share of Blossom stock is $62 on May 25, $65 on June 15, and $67 on July 31. The net effect of this property dividend on retained earnings is a reduction of $1280500. $1319900. $ 876000. $1221400

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