Mathematics

Janessa Wilkerson

9 October, 19:08

The stockholders' equity section of Waterway Corporation consists of common stock ($10 par) $2,050,000 and retained earnings $520,000. A 10% stock dividend (20,500 shares) is declared when the market price per share is $14. Show the before-and-after effects of the dividend on the following.

(a) The components of stockholders' equity.

(b) Shares outstanding.

(c) Par value per share.