The company with the common equity accounts shown here has declared a 4-for-one stock split when the market value of its stock is $33 per share. The firm’s 80-cent per share cash dividend on the new (post split) shares represents an increase of 25 percent over last year’s dividend on the presplit stock. What is the new par value per share? What was last year's dividend per share?
Common Stock ($1 par value) $415,000
Capital Surplus $852,000
Retained Earnings $3,780,800
Total Owner's Equity $5,047,800