At the time that Stellar Company issued a 2-for-1 stock split, the company had 1,000 shares of
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Question:
At the time that Stellar Company issued a 2-for-1 stock split, the company had 1,000 shares of $5 par value common stock outstanding . Stockholders' equity also included $14,000 of additional paid in capital in excess of par value and $20,000 of retained earnings. Immediately after the stock split,
A. the balance in the common stock account would be $10,000.
B. the amount of paid-in capital would be $20,000.
C. the balance in the retained earning account would be $15,000.
D. the balance in the common stock account would be $5,000
Related Book For
Intermediate Accounting
ISBN: 978-0324300987
10th Edition
Authors: Loren A Nikolai, D. Bazley and Jefferson P. Jones
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