The owners equity accounts for Trans World International are shown here:

Common stock ($1 par value)		$	50,000
Capital surplus			191,000
Retained earnings			630,000
Total owners equity		$	871,000

Requirement 1:

Assume Trans World stock currently sells for $44 per share and a stock dividend of 20 percent is declared.

(a)	How many new shares will be distributed?

New shares issued

(b)	Show the new balance for each equity account.

Common stock		$
Capital surplus
Retained earnings
Total owners equity		$

Requirement 2:

Now assume that instead Trans World declares a stock dividend of 26 percent.

(a)	How many new shares will be distributed?

New shares issued

(b)	Show the new balance for each equity account.

Common stock		$
Capital surplus
Retained earnings
Total owners equity		$