Jackson Enterprises has the following capital (equity) accounts: Common stock ($1 par; 200,000 shares outstanding) $ 200,000 Additional paid-in capital 50,000 Retained earnings 250,000 The board of directors has declared a 15 percent stock dividend on January 1 and a $0.25 cash dividend on March 1. What changes occur in the capital accounts after each transaction if the price of the stock is $4? Round the number of shares outstanding to the nearest whole number and the other answers to the nearest dollar. The impact of the 15 percent stock dividend:
Jackson Enterprises has the following capital (equity) accounts: Common stock ($1 par; 200,000 shares outstanding) $ 200,000 Additional paid-in capital 50,000 Retained earnings 250,000 The board of directors has declared a 15 percent stock dividend on January 1 and a $0.25 cash dividend on March 1. What changes occur in the capital accounts after each transaction if the price of the stock is $4? Round the number of shares outstanding to the nearest whole number and the other answers to the nearest dollar. The impact of the 15 percent stock dividend:
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Jackson Enterprises has the following capital (equity) accounts:
| Common stock ($1 par; 200,000 shares outstanding) | $ | 200,000 |
| Additional paid-in capital | 50,000 | |
| 250,000 |
The board of directors has declared a 15 percent stock dividend on January 1 and a $0.25 cash dividend on March 1. What changes occur in the capital accounts after each transaction if the price of the stock is $4? Round the number of shares outstanding to the nearest whole number and the other answers to the nearest dollar.
The impact of the 15 percent stock dividend:
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