On June 30, 2011, O'Hara Co

On June 30, 2011, O'Hara Co. declared and issued a 10 percent stock dividend. Prior to this dividend, O'Hara had 60,000 shares of $10 par value common stock issued and outstanding. The market value of O'Hara Co.'s common stock on June 30, 2011, was $24 per share. As a result of this stock dividend, by what amount would O'Hara's total stockholders' equity increase (decrease) ?

A) $0
B) $60,000
C) $84,000
D) $(84,000)

Correct Answer:

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