Question
A company declares a 10% stock dividend on their 10,000 shares of $5 par common stock. The market price is $8 on the declaration date.
A company declares a 10% stock dividend on their 10,000 shares of $5 par common stock. The market price is $8 on the declaration date. Which of the following is in the entry on the declaration date?
A A credit to Common Stock for $8,000
B A credit to Common Stock for $5,000
C A debit to Stock Dividends for $8,000
D A debit to Stock Dividends for $5,000
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Financial Accounting
Authors: Jan R. Williams, Susan F. Haka, Mark S. Bettner, Joseph V. Carcello
12th Edition
0071116796, 978-0071116794
