Wallace Corporation issued a 6 percent stock dividend on the 31,000 shares of stock outstanding. The par value of the common stock was $30 per share. At the time of the dividend, the market value of the stock was $60 per share. Which of the following shows how the stock dividend will affect Wallace’s financial statements?Multiple ChoiceBalance Sheet Income Statement Statement of Cash FlowsAssets = Common Stock + Additional Paid-in + Retained Earnings Revenues − Expenses = Net IncomeNA   $55,800   $55,800   $(111,600) NA   NA   NA NABalance Sheet Income Statement Statement of Cash FlowsAssets = Common Stock + Additional Paid-in + Retained Earnings Revenues − Expenses = Net IncomeNA   NA   $111,600   $(111,600) NA   NA   NA NABalance Sheet Income Statement Statement of Cash FlowsAssets = Common Stock + Additional Paid-in + Retained Earnings Revenues − Expenses = Net IncomeNA   $(111,600)   $55,800   $55,800 NA   NA   NA NABalance Sheet Income Statement Statement of Cash FlowsAssets = Common Stock + Additional Paid-in + Retained Earnings Revenues − Expenses = Net Income$(111,600)   NA   NA   $(111,600) NA   NA   NA $(111,600) Financing

On January 1, Year 1, Graham Corporation issued 260 shares of $5 par value common stock for $70 per share. Which of the following shows how the stock issue will affect Graham’s financial statements on January 1, Year 1?Multiple ChoiceBalance Sheet Income Statement Statement of Cash FlowsAssets = Common Stock + Paid-in Capital in Excess of Par Value Revenues − Expenses = Net Income$18,200   $1,300   $16,900 $16,900   NA   $16,900 $16,900 OperatingBalance Sheet Income Statement Statement of Cash FlowsAssets = Common Stock + Paid-in Capital in Excess of Par Value Revenues − Expenses = Net Income$18,200   $1,300   $16,900 NA   NA   NA $1,300 FinancingBalance Sheet Income Statement Statement of Cash FlowsAssets = Common Stock + Paid-in Capital in Excess of Par Value Revenues − Expenses = Net Income$18,200   $1,300   $16,900 NA   NA   NA $18,200 FinancingBalance Sheet Income Statement Statement of Cash FlowsAssets = Common Stock + Paid-in Capital in Excess of Par Value Revenues − Expenses = Net Income$18,200   $1,300   $16,900 $18,200   NA   $18,200 $18,200 Operating

A stock dividend ______. (Check all that apply.)Multiple select question.distributes additional shares of stock to existing stockholders on a pro rata basis.causes retained earnings to decrease.increases a stockholders' percentage ownership in the corporation.causes total stockholders' equity to decrease.

Dividend policies can impact a company's stock price because they:a.Affect investor perceptions of the company's financial healthb.Determine the total amount of cash available for investmentc.Determine the cost of equity capitald.Influence the company's capital structure

On October 1, Allison Corporation declared a $72,000 cash dividend to be paid on December 15 to shareholders of record on November 1. Which of the following shows how Allison’s financial statements will be affected on October 1?Multiple ChoiceBalance Sheet Income Statement Statement of Cash FlowsAssets = Dividends Payable + Common Stock + Retained Earnings Revenues − Expenses = Net IncomeNA   $72,000   NA   $(72,000) NA   NA   NA NABalance Sheet Income Statement Statement of Cash FlowsAssets = Dividends Payable + Common Stock + Retained Earnings Revenues − Expenses = Net IncomeNA   $72,000   NA   $(72,000) NA   NA   NA $(72,000) FinancingBalance Sheet Income Statement Statement of Cash FlowsAssets = Dividends Payable + Common Stock + Retained Earnings Revenues − Expenses = Net IncomeNA   NA   NA   NA NA   NA   NA NABalance Sheet Income Statement Statement of Cash FlowsAssets = Dividends Payable + Common Stock + Retained Earnings Revenues − Expenses = Net Income$(72,000)   $(72,000)   NA   NA NA   NA   NA $(72,000) Financing

Murphy's, Incorporated, has 32,650 shares of stock outstanding with a par value of $1 per share. The market value is $14 per share. The balance sheet shows $89,250 in the capital in excess of par account, $32,650 in the common stock account, and $161,950 in the retained earnings account. The firm just announced a stock dividend of 12 percent. What will the market price per share be after the dividend?Multiple Choice$13.50$13.39$14.39$14.00$12.50 PrevQuestion 4 of 10 Total4 of 10Visit question mapNe