Beacon Corporation issued a $3$ percent stock dividend on $37,000$ shares of its $$8$ par common stock. At the time of the dividend, the market value of the stock was $$28$ per share.

Required

Compute the amount of the stock dividend.

Show the effects of the stock dividend on the financial statements using a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity $($OA$),$ investing activity $($IA$),$ or financing activity $($FA$).$ If an element was not affected by the event, leave the cell blank.