Question: Please do not show work and answers in handwriting, because I do not always understand what is written. Thank you so much! Ace Products sells
Please do not show work and answers in handwriting, because I do not always understand what is written. Thank you so much!


Ace Products sells marked playing cards to blackjack dealers. It has not paid a dividend in many years, but is currently contemplating some kind of dividend The capital accounts for the firm are as follows Common stock (2,500,000 shares at 510 par) Capital in excess of par Retained earnings S 25,000,000 5,000,000 24,000,000 Net worth S 54,000,000 The increase in capital in excess of par as a result of a stock dividend is equal to the new shares created times (Market price Par value) The company's stock is selling for S40 per share. The company had total earnings of $10,000,000 during the year. With 2,500,000 shares outstanding, eanings per share were $4. The firm has a P/E ratio of 10 a. What adjustments would have to be made to the capital accounts for a 10 percent stock dividend? Show the new capital accounts. (Do not round intermediate calculations. Input your answers in dollars, not millions (e.g. $1,230,000) Common stock Capital in excess of par Retained earnings Net worth
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