STOCK DIVIDENDS. Crystal Corporation has the following information regarding its common stock:

Its common stock is $20 par, with 300,000 shares authorized, 132,000 shares issued, and 130,600 shares outstanding.

In August 19x6 Crystal declared and paid a 15% stock dividend when the market price of the common was $28 per share.

REQUIRED:

Prepare the journal entry to record declaration and payment of this stock dividend.