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Question
Ducheyne Electric recently declared a 15 percent stock dividend. On the date of the stock dividend Ducheyne had 16 million shares outstanding priced at $46 per share in the market. An accounting entry was required on the balance sheet transferring some retained earnings to the common stock account. If retained earnings were $280 million prior to the transaction, what was the dollar amount of retained earnings after the transfer?
a. $280.0 million
b. $110.4 million
c. $20 million
d. $277.6 million
e. $169.6 million
Answer
This answer is hidden. It contains 159 characters.
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