Gilligan Corporation was established on February 15, Year 1. Gilligan is authorized to issue 650,000 shares of $15 par value common stock. As of December 31, Year 3, Gilligan's stockholders' equity accounts report the following balances: Common stock, $15 par, 650,000 shares authorized, 65,000 shares issued and outstanding Paid-in capital in excess of par - Common Retained earnings $ 1,105,000 1,650,000 $ 2,755,000 Total stockholders' equity At the end of Year 3, Gilligan decides to issue a 5% stock dividend. At the time of issue, the market price of the stock was $23 per share. What is the number of shares outstanding after the stock dividend is issued? Multiple Choice 653,250 61,750 65,000 $ 975,000 130,000 68,250

Gilligan Corporation was established on February 15, Year 1. Gilligan is authorized to issue 650,000 shares of $15 par value common stock. As of December 31, Year 3, Gilligan's stockholders' equity accounts report the following balances: Common stock, $15 par, 650,000 shares authorized, 65,000 shares issued and outstanding Paid-in capital in excess of par - Common Retained earnings $ 1,105,000 1,650,000 $ 2,755,000 Total stockholders' equity At the end of Year 3, Gilligan decides to issue a 5% stock dividend. At the time of issue, the market price of the stock was $23 per share. What is the number of shares outstanding after the stock dividend is issued? Multiple Choice 653,250 61,750 65,000 $ 975,000 130,000 68,250

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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