(Dividend Entries) The following data were taken from the balance sheet accounts of Mase-
8) field Corporation on December 31, 2006.

Instructions Prepare the required journal entries for the following unrelated items.

(a) A5% stock dividend is declared and distributed at a time when the market value of the shares is $39 per share.

(b) The par value of the capital stock is reduced to $2 with a 5-for-1 stock split.

(c) A dividend is declared January 5, 2007, and paid January 25, 2007, in bonds held as an investment.
The bonds have a book value of $100,000 and a fair market value of $135,000.

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Current assets Investments Common stock (par value $10) $540,000 624,000 500,000 Paid-in capital in excess of par 150,000 Retained earnings 840,000