On June 30,2017,Texas,Inc On July 1,2017,the Company Declared and Distributed a 11% Stock

question 15

Multiple Choice

On June 30,2017,Texas,Inc.showed the following data on the equity section of their balance sheet: $$\begin{array} { | l | r | } \hline \text { Stockholders' Equity } & \\\hline \text { Common Stock, } \$ 1 \text { par; } 195,000 \text { shares authorized, } & \\149,000 \text { shares issued and outstanding } & \$ 149,000 \\\hline \text { Paid-In Capital in Excess of Par-Common } & \$ 260,000 \\\hline \text { Retained Earnings } & \$ 949,000 \\\hline \text { Total Stockholder's Equity } & \$ 1,358,000 \\\hline\end{array}$$ On July 1,2017,the company declared and distributed a 11% stock dividend.The market value of the stock at that time was $20 per share.As a result of this stock dividend,what is the balance of Retained Earnings?

• A)$770,580
• B)$951,000
• C)$981,780
• D)$621,200

---

Definitions:

Rehabilitation

The process of helping an individual achieve the highest level of function, independence, and quality of life possible after illness, injury, or imprisonment.

Incarceration

The state of being confined in a prison or similar facility as a form of punishment following conviction for a crime.

Conformity Pressure

The social influence exerted on individuals to make them comply with the norms or behaviors of a group.

Hung Verdict

A legal situation where a jury cannot reach a unanimous decision, leading to a mistrial and possible retrial.