On December 31, the stockholders equity section of the balance sheet of R & B Corporation reflected the following:

Common stock (par $10; 60,000 shares authorized; 25,000 issued and outstanding)	$ 250,000
Additional paid-in capital	12,000
Retained earnings	75,000

On February 1 of the following year, a 12 percent stock dividend was issued. The market value of the stock on February 1 was $18 per share. Required:

For comparative purposes, prepare the stockholders equity section of the balance sheet (a) immediately before the stock dividend and (b) immediately after the stock dividend.

If the stock dividend were 100%, would the additional paid-in capital account be affected?

	Stockholders Equity
	Before Stock Dividend	Stock Dividend	After Stock Dividend
Contributed Capital:
Total Contributed Capital	0	0	0
Total Stockholders Equity