Tom owns 2,000 shares of common stock in Phillips, Inc. These shares represent a 5%...
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Accounting
Tom owns 2,000 shares of common stock in Phillips, Inc. These shares represent a 5% interest in the company. If Phillips issues a 10% stock dividend (a) how many shares will Phillips own after the dividend, and (b) what percentage ownership will he have in the company?
Select one:
2200 shares; 5% ownership
2200 shares; 5.5% ownership
2100; 5% ownership
2100; 5.5% ownership
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