DE 14-2 Strongarm Steel Works has 30,000 shares of $1 par common stock outstanding. Strongarm issued this stock at a price of $10 per share. Strongarm declares and distributes a 50% stock dividend when the market value of its common stock is $62.50 per share. 1. Journalize Strongarm's distribution of the stock dividend on July 15. An explanation is not required. 2. Prepare the stockholders' equity section of Strongarm's balance sheet after distribution of the stock dividend. Retained Earnings had a balance of $60.000 before the dividend, and Strongarm's corporate charter authorizes the company to issue 100.000 shares of com- mon stock.