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If i owe 1,500 shares of $1 par value common stock. The stock's company just issued...

If i owe 1,500 shares of $1 par value common stock. The stock's company just issued a 5% stock dividend in lieu of a cash dividend. How many shares of common stock would I owe after the stock dividend?
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Answer #1

Number of shares = 1,500

Stock dividend = 5%

Number of shares received under stock dividend = 1,500 x 5%

= 75

Number of shares after stock dividend = Number of shares before stock dividend + Number of shares received under stock dividend

= 1,500+75

= 1,575

Kindly comment if you need further assistance. Thanks‼!

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