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ACC423 week two individual

ACC423 week two individual - A B 90,000,000.00...

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A.  no journal entry is made.    180,000,000.00  Worth 5 dollars each B.  90,000,000.00   Retained Earnings   90,000,000.00       Common stock    90,000,000.00          ( due to 100% dividend)  C.  The stock split increases the number of shares outstanding by issuing more shares at a     Stock dividends can be a plablicity gesture. They can capitalize on part of a retianed   Be able to understand the difference between a stock split and stock dividend 
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a lower par value. The dividend declared increases the amount of stocks outstanding by getting th  earning 
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hem off the books.  
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Journal Entries Dividends Pay (perferred) 20000 Dividends Pay (Common) 40000    Cash 60000 T Stock 68000    Cash  68000 Land 30000    T stock 28000    PIC from T Stock 2000 Cash 52500    Perferred Stock 50000    PIC in excess of par 2500 RE 85500    Common Stock 9500    PIC exces of par 76000 Common Stock Div 9500    Common Stock 9500 RE 66800
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