Your turn $-$ Problem #$5$

Firm A had the following selected items on its balance sheet:

Cash

Common stock $($ $$50$ par; $2,100,000$ shares outstanding$)105,000,000$

Additional paid$-$in capital $14,700,000$

Retained earnings

How would each of these accounts appear after:

a$.$ a cash dividend of $$1$ per share? Round the number of shares outstanding to the nearest whole number and the other answers to the nearest dollar.

b$.$ a $4$ percent stock dividend $($fair market value is $$100$ per share$)?$ Use the original balance sheet from the problem statement. Round the number of shares outstanding to the nearest whole number and the other answers to the nearest dollar.