Dividend applicable to the outstanding shares


On February 15, Asher Corporation's board of directors declared a 2 percent stock dividend applicable to the outstanding shares of its $10 par value common stock, of which 400,000 shares are authorized, 260,000 are issued, and 40,000 are held in the treasury. The stock dividend was distributed on March 15 to stockholders of record on March 1. On February 15, the market value of the common stock was $15 per share. On March 30, the board of directors declared a $0.50 per share cash dividend. No other stock transactions have occurred. Record, as necessary, the transactions of February 15, March 1, March 15, and March 30.

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Accounting Basics: Dividend applicable to the outstanding shares
Reference No:- TGS041877

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