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Beacon Corporation issued a 5 percent stock dividend on 33,500 shares of its $9 par common stock. At the time of the dividend, the market value of the stock was $24 per share.
Required
Question 1: Compute the amount of the stock dividend.
Question 2: Show the effects of the stock dividend on the financial statements using a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element was not affected by the event, leave the cell blank.
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