Question

Brief Exercise 18-14 (Algo) Stock split [LO18-8] On June 13, the board of directors of Siewert Inc, declared a 2-for-1 stock split on its 100 million, S1 par, common shares, to be distributed on July 1. The market price of Siewert common stock was $24 on June 13 Prepare a journal entry that summarizes the declaration and distribution of the stock split if it is not to be effected in the form of a stock dividend. What is the par per share after the split? Complete this question by entering your answers in the tabs below. General Journal Par value What is the par per share after the split? (Enter your answer in dollars rounded to 2 decimal places.) Par value per share < General Journal

Answer 1

Cla 9 Bookl - Microsoft Excel x Home Insert Page Layout Formulas Data Review View ? % Cut Σ AutoSum και Calibri - 11 - A Α Α΄ 2 Wrap Text General E) Copy Fill - Paste B I U *Merge & Center $ - % 4.0 .00 .00 .0 Insert Delete Format Format Painter 2 Clear - Conditional Format Cell Formatting as Table Styles Styles Sort & Find & Filter - Select Editing Clipboard Font Alignment Number Cells F19 fo o P Q R S T А B с D E F H J к L M N 1 2 Before split no. of shares 100 millions 3 Before split par value $1 4 5 Total share capital 100*1 6 100 millions 7 8 stock split 2:01 9 10 After split no. of shares 100* 2/1 11 200 million shares 12 13 After stock split the par value gets off set by the change in the no. of shares of the entity leading to no change in the total share capital. 14 15 so par value will become total share capital / new no. of shares 16 100/200 17 0.5 per share 18 19 O 20 21 22 23 24 25 Sheet2 Sheet3 KI Sheet1 Ready BO 100% U O TUI 9:41 AM 9/23/2020