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Supervox Corporation Declared a 3-For-2 Common Stock Split,but This Transaction

Question 83

Multiple Choice

Supervox Corporation declared a 3-for-2 common stock split,but this transaction was erroneously recorded as a 50% common stock dividend.As a result:


A) Retained earnings is understated.
B) The total dollar amount of stockholders' equity is overstated.
C) The corporate records do not show the correct number of shares of common stock outstanding.
D) The common stock account is understated.

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