Assessment 2: Declaring and Paying Stock Dividends (9 Marks) 1. On November 1, Smith Company Ltd. declares a 15% stock dividend to its common shareholders. The date of record is November 20 and date of payment is December 5. Smith Company Ltd. has 100,000 common shares outstanding that have $2 par value. The common shares currently have market price of $10 each. Assume they declare dividends from Retained Earnings Record the entry on date of declaration (2 M) Account Title Debit Credit Record the date of payment (3 M) Account Title Debit Credit 2. On November 1, Gent Company Inc. declares a 50% stock dividend to its common shareholders. Date of record is November 15 and Date of payment is December 1. Gent Company Inc. currently has 250,000 common shares outstanding that have $1 par value. The common shares currently have market price of $20 each. Assume they declare dividends from Retained Earnings Record the entry on date of declaration (2 M) Account Title Debit Credit Record the date of payment (2 M) Account Title Debit Credit