Firm A had the following selected items on its balance sheet:
Cash $ 20,000,000
Notes Payable to bank 31,500,000
Common stock ($10 par; ,000,000 shares outstanding)31,500,000
Retained earnings 98,500,000
Describe how each of these accounts would appear after the following:
a. a cash dividend of $1 per share?
b. a 10 percent stock dividend (fair market value is $13 pershare)?
c. a 3-for-1 split
D. a 1-for-2 reverse stock split