The August 1 balance sheet for Closet Door Company reported 24,000 shares of $5 par value common stock that were issued and outstanding:

On August 2 the company splits its stock 2-for-1.
Required:
a. How many shares of common stock are issued and outstanding immediately after the stock split?
b. What is the dollar balance of common stock immediately after the stock split?

Question

The August 1 balance sheet for Closet Door Company reported 24,000 shares of $5 par value common stock that were issued and outstanding:
 
 On August 2 the company splits its stock 2-for-1.
Required:
a. How many shares of common stock are issued and outstanding immediately after the stock split?
b. What is the dollar balance of common stock immediately after the stock split?

Quizplus · Accepted Answer

The Answer of The August 1 balance sheet for Closet Door Company reported 24,000 shares of $5 par value common stock that were issued and outstanding:
 
 On August 2 the company splits its stock 2-for-1.
Required:
a. How many shares of common stock are issued and outstanding immediately after the stock split?
b. What is the dollar balance of common stock immediately after the stock split?

The August 1 Balance Sheet for Closet Door Company Reported