question archive  An owner of 2,500 shares of Simmons Company com- mon stock receives a stock dividend of 50 shares

 An owner of 2,500 shares of Simmons Company com- mon stock receives a stock dividend of 50 shares

Subject:AccountingPrice: Bought3

 An owner of 2,500 shares of Simmons Company com- mon stock receives a stock dividend of 50 shares.

a.       What is the effect of the stock dividend on the stockholder’s proportionate interest (equity) in the corporation?

b.      How does the total equity of 2,550 shares com- pare with the total equity of 2,500 shares before the stock dividend?

5.      a. Where should a declared but unpaid cash divi- dend be reported on the balance sheet?

b. Where should a declared but unissued stock dividend be reported on the balance   sheet?

pur-new-sol

Purchase A New Answer

Custom new solution created by our subject matter experts

GET A QUOTE