What would be the effect, if any, on book value per share of common stock as a result of each of the following independent events (a) A corporation obtains a bank loan (b) A dividend is declared (to be paid in the next accounting period) ...

a When a corporation obtains a bank loan there is no effect upon book value per share o ...

What would be the effect, if any, on book value per share of common stock as a

Question:

What would be the effect, if any, on book value per share of as a result of each of the following independent events:
(a) A obtains a bank loan;
(b) A is declared (to be paid in the next accounting period)?
Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...