Question: In the previous problem, suppose the company instead decides on a two-for-one stock split. The firm's 56-cent-per-share cash dividend on the new (postsplit) shares represents

In the previous problem, suppose the company instead decides on a two-for-one stock split. The firm's 56-cent-per-share cash dividend on the new (postsplit) shares represents an increase of 10 percent over last year's dividend on the presplit stock. What effect does this have on the equity accounts? What was last year's dividend per share?

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