4 (14 marks) SciTech Company ("ST") is an overseas incorporated company. On 1 January 2019, ST issued 100,000 shares of par $1 common stock at $10 per share. On 31 May 2020, the Board of Directors of ST declared and distributed a 3% stock dividend on its 100,000 shares of common stock. The market value of the ST's stock on 31 May 2020 was $15 per share. a. Prepare the journal entry for ST's issuance of common stock on 1 January 2019. (Note: Narration is NOT required for this journal entry.) (3 marks) b. Discuss THREE reasons why companies choose to distribute stock dividend instead of cash dividend. (6 marks) c. Explain how ST's assets, liabilities and stockholders' equity are affected by the declaration and distribution of 3% stock dividend on its 100,000 shares of common stock instead of cash dividend. Please follow EXACTLY the below format when answering this question AND specify the amounts and the accounts that are being affected. Effects Assets Input your answer Liabilities Input your answer Stockholders' equity Input your answer (5 marks) [Total marks for Question 4: 14 marks]