Chapter 12 Practice Problems Part II Problem 1 McNichols corporation had 200,000 shares of $10 par value common stock outstanding at the beginning of the year Prepare the journal entries for the following transactions relating to stock. April 1 Declared a 10% stock dividend. The stock had a market price on this date of $18. May 1 Distributed the shares of stock related to the dividend of April 1 June 1 Distributed shares of stock related to a 2 for 1 stock split. October 1 Declared a $2 cash dividend 1 October 31 Paid the dividend declared on October 1