On March 1, Starlight Corporation declares a 10% stock dividend on its 40,000 shares of $7 par value common stock. The current fair market value of its stock is $12 per share. On April 1, the company issues those stock dividends to stockholders.

which one is correct?

Options Cr. Dr. 48.000 Account Titles Stock Dividend Common Stock Dividend Distributable Paid-id Capital in Excess of Par - Common Stock A 28.000 20,000 1480.000 B Stock Dividend Common Stock: Dividend Distributable Paid in Capital in Excess of Par Common Stock 280.000 200.000 48.000 Stock Dividend Common Stock Pad-in Capital in Excess of Par. Common Stock 28.000 120.000 480.000 D Stock Dividend Common Stock Dividend Distributable 480,000