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What total shareholders equity will increase by

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Reference no: EM132778498

Problem 1: A company issued a 10% stock dividend. The balance in retained earnings just before the dividend was $45,000. There were 15,000 shares outstanding on the day of the dividend. The $1 par value stock had a market price of $17.25 on the day of the dividend. Total shareholders' equity will increase (decrease) by ________.

Select one:

a. $0
b. $1,500
c. dont know
d. $4,500
e. $25,875

Reference no: EM132778498

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