Business, 25.04.2020 05:05, Angel13613

On October 31, the stockholders’ equity section of Carla Vista Co.’s balance sheet consists of common stock $396,000 and retained earnings $409,000. Carla Vista is considering the following two courses of action: (1) Declaring a 5% stock dividend on the 99,000 $4 par value shares outstanding (2) Effecting a 2-for-1 stock split that will reduce par value to $2 per share.

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On October 31, the stockholders’ equity section of Carla Vista Co.’s balance sheet consists of commo...