b. No cash dividends are paid or declared by Towne or Sara during 2015 and 2016. c. Towne Company distributes a 10% stock dividend on December 31, 2015. Towne stock is selling at $25 per share when...

b. No cash dividends are paid or declared by Towne or Sara during 2015 and 2016.

c. Towne Company distributes a 10% stock dividend on December 31, 2015. Towne stock is selling at $25 per share when the stock dividend is declared.

d. On July 1, 2016, Towne Company sells 2,750 shares of stock at $35 per share. Wells Corporation purchases none of these shares.