Entries for Stock Dividends

Senior Life Co. is an HMO for businesses in the Portland area. The following account balances appear on the balance sheet of Senior Life Co.: Common stock (410,000 shares authorized; 4,000 shares issued), $75 par, $300,000; Paid-In Capital in excess of par common stock, $60,000; and Retained earnings, $2,400,000. The board of directors declared a 2% stock dividend when the market price of the stock was $91 a share. Senior Life Co. reported no income or loss for the current year.

If an amount box does not require an entry, leave it blank. If no entry is required, select "No entry required" from the dropdown.

a1. Journalize the entry to record the declaration of the dividend, capitalizing an amount equal to market value.

	CashNo Entry RequiredPaid-In Capital in Excess of Par-Common StockStock Dividends DistributableStock Dividends	- Select -	- Select -
	CashNo Entry RequiredStock Dividends DistributableStock DividendsTreasury Common Stock	- Select -	- Select -
	CashCommon StockNo Entry RequiredPaid-In Capital in Excess of Par-Common StockStock Dividends	- Select -	- Select -

a2. Journalize the entry to record the issuance of the stock certificates.

	Common StockNo Entry RequiredPaid-In Capital in Excess of Par-Common StockStock DividendsStock Dividends Distributable	- Select -
	Common StockNo Entry RequiredPaid-In Capital in Excess of Par-Common StockStock Dividends DistributableStock Dividends		- Select -

b. Determine the following amounts before the stock dividend was declared: (1) total paid-in capital, (2) total retained earnings, and (3) total stockholders' equity.

Total paid-in capital	$fill in the blank 70bbdf02df93f91_1
Total retained earnings	$fill in the blank 70bbdf02df93f91_2
Total stockholders' equity	$fill in the blank 70bbdf02df93f91_3

c. Determine the following amounts after the stock dividend was declared and closing entries were recorded at the end of the year: (1) total paid-in capital, (2) total retained earnings, and (3) total stockholders' equity.

Total paid-in capital	$fill in the blank 70bbdf02df93f91_4
Total retained earnings	$fill in the blank 70bbdf02df93f91_5
Total stockholders' equity	$fill in the blank 70bbdf02df93f91_6