At the time that Kirby Company issued a 2-for-1 stock split,the company had 5,000 shares of $6 par value common stock outstanding.Stockholders' equity also contained $15,000 of additional paid in capital and $22,000 of retained earnings.Immediately after the stock split,

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In a 2-for-1 stock split, the number of shares doubles, and the par value per share is halved. The total par value remains the same, so the balance in the common stock account would still be $30,000 (5,000 shares x $6 par value = $30,000). After the split, there would be 10,000 shares at $3 par value each, maintaining the $30,000 balance.

At the Time That Kirby Company Issued a 2-For-1 Stock