Rad Roadsters Ltd. has 10,000 common shares outstanding. Rad distributes a 20 percent stock dividend when the

Question:

Rad Roadsters Ltd. has 10,000 common shares outstanding. Rad distributes a 20 percent stock when the market value of its shares is $18.00 per share.
1. Journalize Rad's declaration of the stock on September 30, 2017, and the of the stock on October 30, 2017. Explanations are not required.
2. What is the overall effect of the stock on Rad's total assets? On total shareholders' equity?
Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...