How do I enter the split of National Research (NRCI) into class A (NRCIA) and class B (NRCIB) shares?

NCRI gave a dividend of a new class of stock, the class A shares. Shareholders received 3 class A shares (NCRIA) for each old NCRI share. A reverse split of the old shares was then done and the old shares renamed class B shares. A press release on the details can be found at the URL below:

https://www.nationalresearch.com/news/?category=0&articlesid=102 
No cost basis allocation guidance was found on the National Research web site as of this writing.

Resolution:
This action will need multiple entries in the accounting software. The information below is based on the information available from National Research press release above and experience with similar transactions. These directions may need to be modified if more detailed information comes to light. This reorganization can be accomplished in the software using a spinoff transaction, a reverse split and a name change. Prices for the entries are the average of the opening and closing price on the effective date.

 

The Spinoff Entry:
Go to Transactions > Spinoff or Accounting > Securities > Record Spinoff of Securities depending on the version of the software being used. If you are unfamiliar with spinoff transactions you can get help at this URL:

https://www.iclub.com/support/kb/default.asp?page=normal_spinoff

Here is the information you need to complete the spinoff.

Date: 5/23/2013
Select Parent Security (or Parent Company) : National Research (NRCI)
Remaining Basis Percentage: 15.58
Cash received: See your broker statement for cash-in-lieu received
Spinoff Security (or Symbol of New Company) : National Research class A (NRCIA)
Shares received : 3 x (# of NRCI shares owned) (Remember to include fractional shares.)
For example, if you owned 100 NRCI shares, you should receive 3 x 100 = 300 NRCIA shares.
Price Per Share : 19.05 Do this transaction before the reverse split below.

 

The Reverse Split Entry:
Go to Transactions > Split or Accounting > Securities > Record Stock Split depending on the version of the software being used. If you are unfamiliar with spinoff transactions you can get help at this url:

https://www.iclub.com/support/kb/default.asp?page=normal_split

Here is the information you need to complete the reverse split.
Date: 5/23/2013
Security : National Research (NRCI)
Split Ratio : 1 for 2
Cash for Fractional Share : See your broker statement. Be Careful, Do not confuse this amount with the cash received for fractional shares in the spinoff described above, if any.
Save the transaction and the reverse split has been entered.

 

The Name Change:

For Club Accounting 3 do the following:
Click Securities. Double click on National Research
Change Security Name to National Research class B.
Change Ticker Symbol to NRCIB
Click OK button.

 

For myICLUB.com do the following:
Click Securities. Click the Update Security settings link.
Click Edit next to National Research
Change Company Name to National Research classB.
Change Symbol to NRCIB.
Click Submit button.