Question: Please post the answer with step by step calculation it will help me understand better. The Shareholder's Equity section of Dennis Corporation's latest annual financial
Please post the answer with step by step calculation it will help me understand better.
The Shareholder's Equity section of Dennis Corporation's latest annual financial statements looks like this:
Shareholder's Equity
Common stock 200,000 shares 400,000
Retained earnings 600,000
$1,000,000
The firm has earnings per share in the latest year of $0.80 and a price-earnings ratio of 15 times
A. Show the effect on the equity account(s) of two-for-one stock split
B. Show the effect on the equity account(s) of an 8% stock dividend
C. Show the effect on the equity account(s) of 288,000 cash dividend
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