Identify the effects of these transactions on shareholders' equity. Has shareholders' equity increased, decreased, or remained the same? Each transaction is independent.
a. A 10 percent stock dividend. Before the dividend, 400,000 common shares were outstanding; market value was $7.50 at the time of the dividend.
b. A 2-for-1 stock split. Prior to the split, 50,000 common shares were outstanding.
c. Repurchase of 5,000 common shares at $7.00 per share. The average issue price of these shares was $5.00.
d. Sale of 2,000 repurchased common shares for $6.50 per share.