At the end of the year, the records of Nortech Corporation provided the following selected and incomplete data: Common shares, no par value Shares authorized, 200,000 Shares issued, ? _;issue price $17 per share; cash collected in full $2,125,000 Net earnings 118,000 Dividends declared and paid 75,000 Prior-period error, correction of an accounting error (a credit, net of 9,000 income tax) Retained earnings, beginning balance 155,000 Assume that the company declared a 100 percent stock dividend instead of the 100 percent stock split. The market price of the common share was $21 when the dividend was declared. 7-a. If the company issues 100% stock dividend instead of issuing a two-for-one stock split, will the stock dividend affect any components of shareholders' equity? Yes No 7-b. Prepare the journal entry for the declaration of 100 percent stock dividend. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet