Identify Each of the Following Situations Using the Following Items

question 3

Short Answer

Identify each of the following situations using the following items.Each item is used only once.
a.stock split
b.stock dividend
c.treasury stock
d.cash dividend
e.dividends in arrears
______ 1.Team Shirts exchanged two shares of new stock for every share of existing stock.
______ 2.U Bet,Inc.skipped this year's dividends for preferred stock.
______ 3.Team Shirts paid $1.00 to each shareholder.
______ 4.Team Shirts gave one share of stock for every 10 shares outstanding.
______ 5.Team Shirts bought 300 shares of Team Shirts' stock.

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Definitions:

Cost Formula

A mathematical expression or equation used to calculate the total cost of production, taking into account fixed costs, variable costs, and output levels.

Activity Level

The degree to which resources are utilized in the production process, often measured in units produced, machine hours, or direct labor costs.

Total Cost

The sum of all expenses involved in producing a good or delivering a service, including fixed and variable costs.

Contribution Margin

The gap between sales income and variable expenses, demonstrating the extent to which income aids in covering constant costs and producing earnings.