Concin Has the Following Equity Accounts on Its Balance Sheet

question 137

Multiple Choice

Concin has the following equity accounts on its balance sheet: $\begin{array}{lr}\text { Common stock }(\$ 0.25 \text { par, } 9 \text { million shares }) & \$ 2,250,000 \\\text { Contributed capital in excess of par } & 89,400,000 \\\text { Retain earnings } & 67,503,189 \\&\$159,153,189\end{array}$ The current market price of Concin's stock is $24.25. If the firm declares a 10% stock dividend followed by a $0.06 per share cash dividend, what will be the impact on the Common stock account?

• A) No change
• B) Increase of $225,000
• C) Increase of $54,000
• D) Increase of $21,600,000

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Definitions:

Behaviorism

The theoretical view of personality that focuses on overt behavior and the ways in which it can be affected by rewards and punishments in the environment. A modern variant is the social learning approach, which adds a concern with how behavior is affected by observation, self-evaluation, and social interaction; also called the learning approach.

Social Observation

The process of watching and analyzing the behaviors and interactions of individuals within social settings, often used in psychological and sociological research.

Individual Differences

Individual differences are variations among people in their psychological traits, abilities, and behaviors.

Personality Psychologists

Psychologists who specialize in the study of the various aspects of personality, including traits, behaviors, and the psychological mechanisms that underlie individual differences.