Golden Inc. is considering one of the three following courses of action: (1) paying a $0.4 cash dividend, (2) distributing a 5% stock dividend, or (3) effecting a 2-for-1 stock split. The current share price is $15 per share.
Golden Inc. is considering one of the three following courses of action: (1) paying a $0.4 cash dividend, (2) distributing a 5% stock dividend, or (3) effecting a 2-for-1 stock split. The current share price is $15 per share.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Golden Inc. is considering one of the three following courses of action: (1) paying a $0.4 cash dividend, (2) distributing a 5% stock dividend, or (3) effecting a 2-for-1 stock split. The current share price is $15 per share.
![Before
Action
$1,369,000 $
Bers' equity
$240,000 $
586.000
543.000
1.129.000
$1,369.000
100,000
$
After Cash
Dividend
$
$
After Stock
Dividend
$
$
After
Stock Split
23°C Sunny
^ENG
10:1
7/30/](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F8b63694a-845e-4902-b6da-33585513e88f%2F8c55e0ca-0eac-4337-8fa2-5effc459fa75%2Fhaqnnab_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Before
Action
$1,369,000 $
Bers' equity
$240,000 $
586.000
543.000
1.129.000
$1,369.000
100,000
$
After Cash
Dividend
$
$
After Stock
Dividend
$
$
After
Stock Split
23°C Sunny
^ENG
10:1
7/30/
![Total assets
Total liabilities
Shareholders' equity
Common shares
Retained earnings
Total shareholders' equity
Total liabilities and shareholders' equity
Number of common shares
e here to search
5:
Before
Action
$1,369,000
D
$240,000
586,000
543,000
1,129.000
$1.369.000
100,000
$
$
$
After Cash
Dividend
$
After Stock
Dividend
23°C Sunny
mun
^ ENG](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F8b63694a-845e-4902-b6da-33585513e88f%2F8c55e0ca-0eac-4337-8fa2-5effc459fa75%2Fjchcgkn_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Total assets
Total liabilities
Shareholders' equity
Common shares
Retained earnings
Total shareholders' equity
Total liabilities and shareholders' equity
Number of common shares
e here to search
5:
Before
Action
$1,369,000
D
$240,000
586,000
543,000
1,129.000
$1.369.000
100,000
$
$
$
After Cash
Dividend
$
After Stock
Dividend
23°C Sunny
mun
^ ENG
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