just number 2

Cornerstone Exercise 10-34 Stock Dividend Bower Corporation reported the following information common stock, $2 par; 120,000 shares authorized; 65,000 shares issued and outstanding. Required: 1. What is the appropriate journal entry to record a 5% stock dividend if the market price of the common stock is $45 per share when the dividend is declared? Retained Earnings 146150 Common Stock 6,500 Additional Paid-In Capital-Common Stock 139.750 (Record small stock dividend) Od wyr 1. Small stock dividends are capitalized using the stock's market value, while farge stock dividends are capitalized at the stock's par value 2. What is the appropriate journal entry to record a 35% stock dividend if the market price of the common stock is $45 per share when the dividend is declared? Retained Earnings 21.450 X Common Stock (Record large stock dividend)