58. Refer to the previous question. By what amount did totalequity and total assets change, if at all? (If the accountbalance
or amount did not change, state your answer as "$0.")
Use the following information to answer the next 10questions:
A company with 50,000 authorized shares of$! par common stockissued 10,000 shares at $10 per share. Subsequently, the companydeclared and paid a $3 cash dividend per share. On the date, thecompany declared the dividend, the market price of the shares was$30 per share.
59. What is the effect of the dividend on RetainedEarnings?
a. Retained earnings decreased
b. Retained earnings increased
c. Retained earnings remained the same
d. None of the above
60. Refer to the previous question. By what amount did RetainedEarnings change, if at all? (If the account balance or amount didnot change, state your answer as "$0.")
61. What is the effect of the dividend on Common Stock?
a. Common Stock decreased
b. Common Stock increased
c. Common Stock remained the same
d. None of the above
62. Refer to the previous question. By what amount did CommonStock change, if at all? (If the account balance or amount
did not change, state your answer as "$0")
63. What is the effect of the dividend on Paid-in Capital?
a. Paid-in Capital decreased
b. Paid-in Capital increased
c. Paid-in Capital remained the same
d. None of the above
64. Refer to the previous question. By what amount did Paid-inCapital change, if at all? (If the account balance or amount
did not change, state your answer as "$0.")
65. What is the effect of the dividend on the number of sharesoutstanding?
a. The number decreased
b. The number increased
c. The number remained the same
d. None of the above
66. Refer to the previous question. By what amount did thenumber of shares outstanding change, if at all? (If theaccount
balance or amount did not change, state your answer as "O.")
67. What is the effect of the dividend on total equity and totalassets?
a. Total equity decreased and total assets decreased
b. Total equity decreased and total assets increased
c. Total equity increased and total assets decreased
d. Total equity increased and total assets increased
e. None of the above
68. Refer to the previous question. By what amount did totalequity and total assets change, if at all? (If the accountbalance
or amount did not change, state your answer as "$0.")
