Grant Corporation's stockholders' equity consisted of 60,000 authorized shares of \(\$ 30\) par value common stock, of which 30,000 shares had been issued at par, and retained earnings of \(\$ 750,000\). The company then split its stock, two for one, by changing the par value of the old shares and issuing new \(\$ 15\) par shares.

a. Give the required journal entry to record the stock split.

b. Suppose instead that the company declared and later issued a \(10 \%\) stock dividend. Give the required journal entries, assuming that the market value on the date of declaration was \(\$ 40\) per share.