Required information Exercise 11-8 Small stock dividends LO P2 [The following information applies to the questions displayed below.] The stockholders' equity of TVX Company at the beginning of the day on February 5 follows. Common stock-$20 par value, 150,000 shares authorized, 63,000 shares issued and outstanding Paid-in capital in excess of par value, common stock Retained earnings Total stockholders' equity $1,260,000 430,000 548,000 $2,238,000 On February 5, the directors declare a 2% stock dividend distributable on February 28 to the February 15 stockholders of record. The stock's market value is $36 per share on February 5 before the stock dividend. Exercise 11-8 Part 1 1. Prepare entries to record both the dividend declaration and its distribution. View transaction list Journal entry worksheet Record the distribution of a 2% stock dividend. Note: Enter debits before credits. Date General Journal Debit Credit Feb 28 Record entry Clear entry View general journal On February 5, the directors declare a 2% stock dividend distributable on February 28 to the February 15 stockholders of record. The stocks market value is $36 per share on February 5 before the stock dividend. Exercise 11-8 Part 2 . Prepare the stockholders' equity section after the stock dividend is distributed. (Assume no other changes to equity.) TVX COMPANY Stockholders' Equity Section of the Balance Sheet February 28 Total stockholders' equity