Planning to issue a stock dividend

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Reference no: EM13940298

Mr. R. owns 20,000 shares of ABC Corporation stock. The company is planning to issue a stock dividend. Before the dividend Mr. R. owned 10 percent of the outstanding stock, which had a market value of $200,000, or $10 per share. Upon receiving the 10 percent stock dividend the value of his shares is. Can you please explain step by step how to solve this problem. a. $220,000. b. $210,000. c. $200,000. d. $180,000.

Reference no: EM13940298

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