On June 13, the board of directors of Siewert Inc. declared a 2-for-1 stock split on its 120 million, $5 par, common shares, to be distributed on July 1. The market price of Siewert common stock was $23 on June 13. Prepare the journal entry to record the stock split if it is not to be effected in the form of a stock dividend. What is the par per share after the split?
On June 13, the board of directors of Siewert Inc. declared a 2-for-1 stock split on its 120 million, $5 par, common shares, to be distributed on July 1. The market price of Siewert common stock was $23 on June 13. Prepare the journal entry to record the stock split if it is not to be effected in the form of a stock dividend. What is the par per share after the split?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:On June 13, the board of directors of Siewert Inc. declared a 2-for-1 stock split on its 120 million, $5 par, common shares, to be
distributed on July 1. The market price of Siewert common stock was $23 on June 13.
Prepare the journal entry to record the stock split if it is not to be effected in the form of a stock dividend. What is the par per share
after the split?
Complete this question by entering your answers in the tabs below.
General
Journal
Par value
Prepare the journal entry to record the stock split if it is not to be effected in the form of a stock dividend. (If no entry is required for a
transaction/event, select "No journal entry required" in the first account field.)
View transaction list
Journal entry worksheet
1
Record the stock split.
Note: Enter debits before credits.
Event
1
General Journal
Debit
On June 13, the board of directors of Siewert Inc. declared a 2-for-1 stock split on its 120 million, $5 par, common shares, to be
distributed on July 1. The market price of Siewert common stock was $23 on June 13.
Credit
Prepare the journal entry to record the stock split if it is not to be effected in the form of a stock dividend. What is the par per share
after the split?
Par value
Complete this question by entering your answers in the tabs below.
General
Journal
What is the par per share after the split? (Enter your answer in dollars rounded to 2 decimal places.)
Par value
per share
< General Journal
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