Refer to the information in Exercise 13-6. Assume that instead of distributing a stock Sharper did a 3-for-1 stock split. After the split, (1) prepare the updated stockholders’ equity section and (2) compute the number of shares outstanding. Hint: A 3-for-1 split means that each old share is replaced with 3 new shares.
Data from Exercise 13-6
On June 30, Sharper Corporation’s stockholders’ equity section of its appears as follows before any stock or split. Sharper declares and immediately distributes a 50% stock After the is made,
(1) Prepare the updated stockholders’ equity section
(2) Compute the number of shares outstanding.
