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73) Ma's Fried Chicken has 21,000 shares of stock outstanding with a par value of $1 per share
and a market value of $41 per share. The balance sheet shows $121,000 in the capital in excess
of par account and $204,000 in the retained earnings account. The firm just announced a 5
percent stock dividend. What will be the total owners' equity after the dividend?
A) $354,000
B) $298,000
C) $346,000
D) $321,000
E) $325,000
74) Val's Marina Supply has 7,500 shares of stock outstanding with a par value of $1 per share
and a market value of $28 per share. The balance sheet shows $7,500 in the common stock
account, $32,400 in the capital in excess of par account, and $81,800 in the retained earnings
account. The firm just announced a 100 percent stock dividend. What is the value of the capital
in excess of par account after the dividend?
A) $24,900
B) $16,200
C) $32,400
D) $39,900
E) $64,800
75) Kurt's Market has 16,000 shares of stock outstanding with a par value of $1 per share and a
market value of $17 per share. The balance sheet shows $16,000 in the common stock account,
$236,000 in the capital in excess of par account, and $314,800 in the retained earnings account.
The firm just announced a stock dividend of 65 percent. What will be the balance in the retained
earnings account after this dividend?
A) $304,400
B) $316,800
C) $314,800
D) $308,600
E) $325,200
76) The Tanning Bed has 8,500 shares of stock outstanding with a par value of $1 per share and
a market value of $12 per share. The balance sheet shows $34,200 in the capital in excess of par
account, and $51,300 in the retained earnings account. The firm just announced a 100 percent
stock dividend. What will be the value of the common stock account after the dividend?
A) $8,500
B) $10,000
C) $12,750
D) $15,000
E) $17,000
77) Verbal Communications has 18,400 shares of stock outstanding with a par value of $1 per
share and a market value of $43 per share. The firm just announced a stock dividend of 100
percent. What is the market value per share after the dividend?
A) $21.50
B) $20.50
C) $27.00
D) $26.50
E) $43.00
78) Della's Pools has 36,000 shares of stock outstanding with a par value of $1 per share and a
market price of $38 a share. The company just announced a stock split of four-for-three. How
many shares of stock will be outstanding after the split?
A) 27,000
B) 14,400
C) 12,000
D) 36,000
E) 48,000
79) Alfonzo's Italian House has 17,000 shares of stock outstanding with a par value of $1 per
share and a market price of $24.60 a share. The firm just announced a stock split of three-for-
two. What will be the market price per share after the split?
A) $16.40
B) $18.60
C) $28.20
D) $24.60
E) $36.90
80) South Shore Limited has 14,500 shares of stock outstanding with a par value of $1 per share
and a market price of $54.10 a share. The firm just announced a stock split of seven-for-two.
What will be the par value of the stock after the split?
A) $.29
B) $.58
C) $1.00
D) $7.00
E) $3.50
81) Mario's has 24,000 shares of stock outstanding with a par value of $1 per share and a market
price of $11.40 a share. The balance sheet shows $68,600 in the capital in excess of par value
account, and $34,910 in the retained earnings account. The company just announced a stock split
of three-for-one. What will be the capital in excess of par account value after the split?
A) $22,867
B) $68,600
C) $46,000
D) $148,200
E) $205,800
82) Prezario's has 14,500 shares of stock outstanding with a par value of $1 per share. The
current market value of the firm is $287,000. Currently, the retained earnings account balance is
$197,000 and the capital in excess of par value account balance is $47,900. The company just
announced a stock split of three-for-one. What is the common stock account balance after the
stock split?
A) $29,000
B) $14,500
C) $4,833
D) $7,250
E) $43,500
83) The Peanut Shack has 3,500 shares of stock outstanding with a par value of $1 per share. The
current market value of the firm is $178,200. The company just announced a stock split of seven-
for-three. What will be the market price per share after the split?
A) $30.33
B) $21.82
C) $16.18
D) $118.80
E) $94.93
84) Western Mountain Water has 35,000 shares of stock outstanding with a par value of $1 per
share. The current market value of the firm is $948,000. The balance sheet shows a capital in
excess of par value account balance of $72,800 and retained earnings of $368,400. The company
just announced a stock split of three-for-one. What will be the capital in excess of par value
account balance after the split?
A) $24,267
B) $54,400
C) $72,800
D) $166,667
E) $218,400
85) The Peace River Corporation has 52,000 shares of stock outstanding at a market price of $41
a share. The company has just announced a stock split of five-for-three. How many shares of
stock will be outstanding after the split?
A) 66,667 shares
B) 31,200 shares
C) 52,000 shares
D) 86,667 shares
E) 62,400 shares
86) Cooper Brands has 36,000 shares of stock outstanding at a market price of $61.10 a share.
The company just announced a stock split of five-for-thee. What will be the market price per
share after the split?
A) $36.66
B) $34.28
C) $61.10
D) $104.18
E) $101.83
87) The Mining Co. has 25,000 shares of stock outstanding. The current market value of the firm
is $789,000. The company has retained earnings of $407,000, capital in excess of par value of
$229,000, and a common stock account value of $25,000. The company is planning a reverse
stock split of two-for-three. What will be the par value per share after the split?
A) $.50
B) $.33
C) $1.00
D) $2.50
E) $1.50
88) East Coast Marina has 65,000 shares of stock outstanding. The current market value of the
firm is $2.87 million. The company has capital in excess of par value of $1.09 million on its
balance sheet. The company is planning a stock split of five-for-four. What will be the market
price per share after the split?
A) $44.15
B) $35.32
C) $41.08
D) $55.19
E) $52.31
89) Jean's Warehouse has 22,000 shares of stock outstanding with a current market value of
$971,520. The company has retained earnings of $218,740 and paid in surplus of $384,200. The
company is planning a stock split of four-for-three. What will be the retained earnings account
value after the split?
A) $164,055
B) $218,740
C) $153,600
D) $193,653
E) $245,500
90) The common stock of High Energy is selling for $58 a share. Currently, the firm has a total
market value of $1,314,900 and a book value of $647,600. How many shares of stock will be
outstanding if the firm does a stock split of five-for-two?
A) 27,914 shares
B) 49,377 shares
C) 54,168 shares
D) 47,727 shares
E) 56,677 shares
91) The common stock of Gillen Entertainment is selling for $47 a share. The firm has a book
value of $487,400 and a market value of $938,000. How many shares of stock will be
outstanding if the firm does a stock split of three-for-two?
A) 26,815
B) 15,555
C) 27,183
D) 29,936
E) 32,211
92) Purvis Lawn Products has 5,400 shares of stock outstanding at a market price of $6.37 a
share. What will the market price per share be if the company does a reverse stock split of one-
for-three?
A) $2.12
B) $6.37
C) $9.37
D) $21.10
E) $19.11
93) The Olive Vase has 48,000 shares of stock outstanding with a par value of $1 per share and a
market value of $13 a share. The company just announced a reverse stock split of three-for-
seven. Currently, you own 400 shares of this stock. What will be the total value of your shares
after the reverse stock split?
A) $3,300
B) $6,120
C) $5,200
D) $9,067
E) $12,133
94) The Green Florist has 15,000 shares of stock outstanding with a par value of $1 per share and
a market value of $14.40 a share. The company just announced a reverse stock split of two-for-
three. Currently, you own 300 shares of this stock. How many shares will you own after the
reverse stock split?
A) 150
B) 200
C) 450
D) 600
E) 75
95) City Center Pharmacy has 24,500 shares of stock outstanding with a par value of $1 per
share and a market value of $18.90 a share. The company just announced a reverse stock split of
three-for-five. What will be the market value per share after the reverse stock split?
A) $11.34
B) $12.67
C) $23.33
D) $31.50
E) $33.14
96) The owners' equity accounts for Buel Industries include common stock of $24,000 with a $1
par value, capital in excess of par value of $287,000, and retained earnings of $408,500. How
many shares will be outstanding and what will be the par value per share if the firm declares a
reverse stock split of one-for-four?
A) 6,000; $1.00
B) 6,000; $4.00
C) 24,000; $.25
D) 96,000; $.25
E) 96,000; $4.00
97) The Turtle Cave currently has 15,000 shares of stock outstanding that sell for $31 per share.
Assume no market imperfections or tax effects exist. What will be the new share price if the firm
declares a stock dividend of 10 percent?
A) $32.17
B) $28.18
C) $29.47
D) $34.10
E) $30.30
98) Glendale Paving currently has 45,000 shares of stock outstanding that sell for $38 per share.
Assume no market imperfections or tax effects exist. What will be the new share price if the firm
declares a stock dividend of 22 percent?
A) $46.36
B) $38.00
C) $33.75
D) $31.15
E) $40.00
99) The market value balance sheet for MZ Toys reflects cash of $32,000, fixed assets of
$687,000, debt of $285,000, and equity of $479,000. The firm declared a stock dividend of 15
percent and tomorrow is the ex-dividend date (the chronology for a stock dividend is similar to
that for a cash dividend). There are 12,000 shares outstanding. What is the ex-dividend stock
price?
A) $33.51
B) $34.71
C) $33.93
D) $35.14
E) $39.92
