If the firm declares a 2 for 1 stock split.

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Growth Industries' current stockholders' equity account is as follows:

Preferred stock ..............$ 400,000

Common stock (600,000 shares at $3 par) ..1,800,000

Paid-in capital in excess of par .......200,000

Retained earnings ............800,000

Total stockholders' equity .........$3,200,000

a. Indicate the change, if any, expected if the firm declares a 2-for-1 stock split.

b. Indicate the change, if any, expected if the firm declares a 1-for-11/2 reverse stock split.

c. Indicate the change, if any, expected if the firm declares a 3-for-1 stock split.

d. Indicate the change, if any, expected if the firm declares a 6-for-1 stock split.

e. Indicate the change, if any, expected if the firm declares a 1-for-4 reverse stock split.

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Reference no: EM131109241

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