Question
On September 1, the board of directors of Colorado Outfitters, Inc., declares a stock dividend on its 18,000, $9 par, common shares. The market price
On September 1, the board of directors of Colorado Outfitters, Inc., declares a stock dividend on its 18,000, $9 par, common shares. The market price of the common stock is $38 on this date.
Required: 1. 2. & 3. Record the necessary journal entries assuming a small (10%) stock dividend, a large (100%) stock dividend, and a 2-for-1 stock split. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
1.
Record the stock dividend assuming a small (10%) stock dividend.
2.
Record the stock dividend assuming a large (100%) stock dividend.
3.
Record the stock dividend assuming a 2-for-1 stock split.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started