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On may 1 2010 ziek corp declared and issued a 10 common

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On May 1, 2010, Ziek Corp. declared and issued a 10% common stock dividend. Prior to this dividend, Ziek had 100,000 shares of $1 par value common stock issued and outstanding. The fair value of Ziek 's common stock was $20 per share on May 1, 2010.

Required:

As a result of this stock dividend:

1) Did Ziek's total stockholders' equity increase; decrease or remain the same.

2) If stockholders equity changed, by how much?

Reference no: EM13591430

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