Murton Industries Murton Industries, Inc. Reported the Following Information on Its Recent

Murton Industries
Murton Industries, Inc. reported the following information on its recent balance sheet.
Common stock, $10 par, 100,000 shares authorized, 75,000 shares issued and outstanding
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Refer to the information for Murton Industries. What is the effect of a 2-for-1 stock split if the market value of the common stock is $20 per share at the time the stock split is declared?

A) A stock split has no impact on any of the stockholders' equity account balances.
B) Total stockholders' equity increases $750,000.
C) Cash increases $750,000.
D) $1,500,000 of retained earnings is transferred to the capital stock accounts.