On January 1, Carl, Inc., declared a 10% stock dividend on its common stock when the market value of the common stock was $20 per share. Stockholders' equity before the stock dividend was declared consisted of: Common stock, $10 par value, authorized 200,000 shares; issued and outstanding 120,000 shares Additional paid-in capital on common stock Retained earnings Total stockholders' equity $1,200 150 700 $2.050 ings as result of the What was the effect on Carl's retained above transaction? $200,000 decrease $400,000 decrease $120,000 decrease $240,000 decrease