The owners’ equity accounts for Freya International are shown here: Common stock ($.60 par value) $ 30,000 Capital surplus 310,000 Retained earnings 688,120 Total owners’ equity $ 1,028,120 a-1 If Freya stock currently sells for $20 per share and a 20 percent stock dividend is declared, how many new shares will be distributed?(Do not round intermediate calculations.) New shares issued a-2 Show how the equity accounts would change.(Do not round intermediate calculations.) Common stock $ Capital surplus Retained earnings Total owners’ equity $ b-1 If instead Freya declared a 25 percent stock dividend, how many new shares will be distributed?(Do not round intermediate calculations.) New shares issued b-2 Show how the equity accounts would change.(Do not round intermediate calculations.) Common stock $ Capital surplus Retained earnings Total owners’ equity $ Hints References eBook & Resources Hint #1

The owners’ equity accounts for Freya International are shown here: Common stock ($.60 par value) $ 30,000 Capital surplus 310,000 Retained earnings 688,120 Total owners’ equity $ 1,028,120 a - 1 If...

The owners’ equity accounts for Freya International are shown here:

a-1	If Freya stock currently sells for $20 per share and a 20 percent stock dividend is declared, how many new shares will be distributed?(Do not round intermediate calculations.)

New shares issued

a-2

Show how the equity accounts would change.(Do not round intermediate calculations.)

b-1	If instead Freya declared a 25 percent stock dividend, how many new shares will be distributed?(Do not round intermediate calculations.)

New shares issued

b-2

Show how the equity accounts would change.(Do not round intermediate calculations.)

Hints

References

eBook & Resources

Hint #1

Jun 03, 2022