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The following are selected transactions that may affect stockholders' equity.
1. Recorded accrued interest earned on a note receivable.2. Declared and distributed a stock split.3. Declared a cash dividend.4. Recorded a retained earnings restriction.5. Recorded the expiration of insurance coverage that was previously recorded as prepaid insurance.6. Paid the cash dividend declared in item 3 above.7. Recorded accrued interest expense on a note payable.8. Declared a stock dividend.9. Distributed the stock dividend declared in item 8.
In the following table, indicate the effect each of the nine transactions has on the financial statement elements listed. Use the following code:
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