Bruno's has 13,000 shares of stock outstanding with a par value of $1 per share and a market value of $38.29 per share. The balance sheet shows $13,000 in the common stock account, $78,300 in the capital in excess of par value account, and $82,500 in retained earnings. The firm just announced a large stock dividend of 40 percent. What will be the balance in the capital in excess of par value account after the dividend?

Bruno's has 13,000 shares of stock outstanding with a par value of $1 per share and a market value of $38.29 per share. The balance sheet shows $13,000 in the common stock account, $78,300 in the capital in excess of par value account, and $82,500 in retained earnings. The firm just announced a large stock dividend of 40 percent. What will be the balance in the capital in excess of par value account after the dividend?

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter10: Stockholder's Equity

Section: Chapter Questions

Problem 5MCQ

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