Help Save & E On January 31, Year 2. Village Bank had 320.000 shares of $2 par value common stock outstanding On that date, the company declared a 1% stock dividend when the market price of the stock was $28 per share. The immediate effect of this dividend upon Village Bank was Multiple Choice A reduction in retained eamings of $70,400 A reduction in retained eamings of $95,000 A reduction in cash of $985.600 A lably to the stockholders of $70,400 8