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The Stockholders' Equity Section of Judson Company Showed the Following

Question 94

Multiple Choice

The stockholders' equity section of Judson Company showed the following:
The stockholders' equity section of Judson Company showed the following:   Judson declared a 10% stock dividend on a day when the market value of the stock was $15 per share. The stock dividend will: A)  Increase Total Contributed Capital by $90,000 B)  Decrease Retained Earnings by $300,000 C)  Increase Common Stock by $100,000 D)  Increase Contributed Capital in excess of par value, Common Stock by $60,000 Judson declared a 10% stock dividend on a day when the market value of the stock was $15 per share.
The stock dividend will:


A) Increase Total Contributed Capital by $90,000
B) Decrease Retained Earnings by $300,000
C) Increase Common Stock by $100,000
D) Increase Contributed Capital in excess of par value, Common Stock by $60,000

Correct Answer:

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