50.1K

Verified Solution

Link Copied!

Company Z has 8 million shares of common stock authorized with a par value of $1 and a market price of $72 There are 4 million outstanding shares and 1 million shares held in treasury stock. Required: a. Prepare the journal entry if the company declares and distributes a 10% stock dividend. b. Show the effect of the 10% stock dividend on assets, liabilities, and stockholders' equity. c. Prepare the journal entry if the company declares and distributes a 100% stock dividend d. Show the effect of the 100% stock dividend on assets, liabilities, and stockholders' equity. Complete this question by entering your answers in the table below. Required A Required B Required Required D Prepare the journal entry if the company declares and distributes a 10% stock dividend. (If no entry is required for a transaction/event, select "No Journal Entry Required in the first account field. Enter your answers in dollars and not in millions.) View transaction list Journal entry worksheet Record the declaration and distribution of the 10% stock dividend. Note: Enter debits before credits Transaction General Journal Debit Credit Record entry Clear entry View general Journal Required A Required Required Required Show the effect of the 10% stock dividend on assets, fiabilities, and stockholders' equity. (Enter all amounts as positive values. Enter your answers in dollars and not in milions) Assets Laibilities Stockholders Equity Required A Required B Required Required D Prepare the journal entry if the company declares and distributes a 100% stock dividend. (If no entry is required for a transa select "No Journal Entry Required" in the first account field. Enter your answers in dollars and not in millions.) View transaction list Journal entry worksheet

Answer & Explanation Solved by verified expert

See Answer