The declaration and issuance of a stock dividend

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56. The declaration and issuance of a stock dividend larger than 25% of the shares previouslyoutstandinga. increases common stock outstanding and increases total stockholders' equity.b. decreases retained earnings but does not change total stockholders' equity.c. may increase or decrease paid-in capital in excess of par but does not change totalstockholders' equity.d. increases retained earnings and increases total stockholders' equity.
57. Quirk Corporation issued a 100% stock dividend of its common stock which had a parvalue of $10 before and after the dividend. At what amount should retained earnings becapitalized for the additional shares issued?
58. The issuer of a 5% common stock dividend to common stockholders preferably shouldtransfer from retained earnings to contributed capital an amount equal to the
59. At the date of declaration of a small common stock dividend, the entry shouldnotinclude
60. The balance in Common Stock Dividend Distributable should be reported as a(n)a. deduction from common stock issued.b. addition to capital stock.c. current liability.d. contra current asset.
61. A feature common to both stock splits and stock dividends is
62. What effect does the issuance of a 2-for-1 stock split have on each of the following?Par Value per Share Retained Earnings
63. Which one of the following disclosures should be made in the equity section of thebalance sheet, rather than in the notes to the financial statements?

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Chapter 7 / Exercise 39
South-Western Federal Taxation 2020: Corporations, Partnerships, Estates and Trusts
Raabe/Young/Nellen/Hoffman
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Term
Fall
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Adams
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The document you are viewing contains questions related to this textbook.
South-Western Federal Taxation 2020: Corporations, Partnerships, Estates and Trusts
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Chapter 7 / Exercise 39
South-Western Federal Taxation 2020: Corporations, Partnerships, Estates and Trusts
Raabe/Young/Nellen/Hoffman
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