Myers Company provides you with the following condensed balance sheet information. For each transaction below, indicate the

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Myers Company provides you with the following condensed balance sheet information. For each transaction below, indicate the dollar impact (if any) on the following five items: (1) total assets, (2) common stock, (3) paid-in capital in excess of par, (4) retained earnings, and (5) stockholders? equity. (Each situation is independent.)

(a) Myers declares and pays a $0.50 per share cash dividend.

(b) Myers declares and issues a 10% stock dividend when the market price of the stock is $14 per share.

(c) Myers declares and issues a 30% stock dividend when the market price of the stock is $15 per share.

(d) Myers declares and distributes a property dividend. Myers gives one share of ABC stock for every two shares of Myers Company stock held. ABC is selling for $10 per share on the date the property dividend is declared.

(e) Myers declares a 2-for-1 stock split and issues new shares.

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Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...
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Intermediate Accounting

ISBN: 978-0470423684

13th Edition

Authors: Donald E. Kieso, Jerry J. Weygandt, And Terry D. Warfield

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