A corporation has 45,561 shares of $30 par stock outstanding that has a current market value of $342 per share.

17.A corporation has 45,561 shares of $30 par stock outstanding that has a current market value of $342 per share. If the corporation issues a 4-for-1 stock split, the market value of the stock will fall to approximately

a.$85.50

b.$1,368.00

c.$7.50

d.$312.00

18.A company with 100,000 authorized shares of $4 par common stock issued 50,000 shares at $9. Subsequently, the company declared a 2% stock dividend on a date when the market price was $10 per share. The effect of the declaration and issuance of the stock dividend is to

a.increase retained earnings, decrease common stock, and increase paid-in capital

b.decrease retained earnings, increase common stock, and decrease paid-in capital

c.increase retained earnings, decrease common stock, and decrease paid-in capital

d.decrease retained earnings, increase common stock, and increase paid-in capital