On January 1, 2014, Wilkens Corporation had $1,200,000 of common stock outstanding that was issued at par and retained earnings of $750,000. The company issued 30,000 shares of common stock at par on July 1 and earned net income of $400,000 for the year.

Journalize the declaration of a 15% stock dividend on December 10, 2014, for the following two independent assumptions. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)

(a)

Par value is $10 and market price is $15.

(b)Par value is $5 and market price is $8.

No. Account Titles and Explanation Debit Credit (a) l[Retained Earnings 378,000 Common Stock 210,000 capital 168,000 (b) Retained Earnings 420,000 Common Stock 105,000 capital 315,000