Stock Dividends and Stock Splits At December 31, 2017, Green Company and Blue Co

Question

Stock Dividends and Stock Splits At December 31, 2017, Green Company and Blue Company have identical amounts of common stock and retained earnings as follows: Common Stock, $10 par, 40,000 shares authorized, 15,000 issued, 15,000 outstanding Retained Earnings, $400,000 At December 31, 2017, Green Company declares and issues a 100% stock dividend, while Blue Company declares and ssues a 2-for-1 stock split. Required: Determine for each company the following amounts as of January 1, 2018: Accounts Green Company Blue Company Number of shares of common stock outstanding Par value per share of the common stock Total amount reported in common stock account Retained earnings shares shares

Explanation / Answer

Green company Blue company Number of shares of common stock outstanding 30000 30000 Par value per share of common stock 10 5 Total amount reported in common stock account 300000 150000 Retained earnings 250000 400000

Related Questions

Navigate

• Browse (All)
• Browse S
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.