On October 1, Kosko Corporation’s stockholders’ equity is as follows. Common stock, $5 par value $400,000 Paid-in capital in excess of par value 25,000 Retained earnings 155,000 Total stockholders’ equity $580,000 On October 1, Kosko declares and distributes a 10% stock dividend when the market value of the stock is $15 per share. Instructions: Indicate the balances in the above stockholders’ equity accounts after the stock dividend shares have been distributed. Also find the par value per share and book value per share.
On October 1, Kosko Corporation’s stockholders’ equity is as follows. Common stock, $5 par value $400,000 Paid-in capital in excess of par value 25,000 Retained earnings 155,000 Total stockholders’ equity $580,000 On October 1, Kosko declares and distributes a 10% stock dividend when the market value of the stock is $15 per share. Instructions: Indicate the balances in the above stockholders’ equity accounts after the stock dividend shares have been distributed. Also find the par value per share and book value per share.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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On October 1, Kosko Corporation’s
- Common stock, $5 par value $400,000
- Paid-in capital in excess of par value 25,000
Retained earnings 155,000- Total stockholders’ equity $580,000
On October 1, Kosko declares and distributes a 10% stock dividend when the market value of the stock is $15 per share.
Instructions:
Indicate the balances in the above stockholders’ equity accounts after the stock dividend shares have been distributed. Also find the par value per share and book value per share.
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