Timsang, Inc., has declared a $6.50 per share dividend. Suppose capital gains are not taxed, but dividends are taxed at 30 percent. New IRS regulations require that taxes be withheld at the time the dividend is paid. The company's stock sells for $116 per share, and the stock is about to go ex-dividend.

What do you think the ex-dividend price will be?(Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Ex-dividend price$

The owners' equity accounts for Overby International are shown here:

Common stock ($1 par value)$40,000Capital surplus188,000Retained earnings620,000Total owners' equity$848,000

a.Assume the company's stock currently sells for $43 per share and a stock dividend of 15 percent is declared.

How many new shares will be distributed?(Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)

New shares issued

Show the new balance for each equity account.(Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.)

Common stock$Capital surplusRetained earningsTotal owners' equity$

b.Now assume that instead the company declares a stock dividend of 20 percent.

How many new shares will be distributed?(Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)

New shares issued

Show the new balance for each equity account.(Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.)

Common stock$Capital surplusRetained earningsTotal owners' equity$