The stockholders' equity section of Waterway Corporation consists of common stock ($10 par) $2,050,000 and retained earnings $520,000. A 10% stock dividend (20,500 shares) is declared when the market price per share is $14. Show the before-and-after effects of the dividend on the following.
(a) The components of stockholders' equity.
(b) Shares outstanding.
(c) Par value per share.
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