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    Calculating Accumulated Shares

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    Consider the following information. How many shares do you hold today if you bought 1,000 shares of this stock at the beginning of 1985?
    1986 - 10 percent stock dividend
    1987 - 10 percent stock dividend
    1988 - 25 percent stock dividend
    1989 - 100 percent stock dividend
    1994 - 2-for-1 stock split
    2007 - 100 percent stock dividend.

    © BrainMass Inc. brainmass.com April 3, 2020, 9:33 pm ad1c9bdddf
    https://brainmass.com/business/accounting-for-corporations/calculating-accumulated-shares-388103

    Solution Preview

    Here is the computation:

    Year Event Shares Issued Balance Computation
    1985 1,000.00 Given
    1986 ...

    Solution Summary

    This solution illustrates the effect of stock dividends and splits on an investor's stock holdings.

    $2.19

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