Sangster Company, a sports equipment manufacturer, has 725,000 shares of common stock issued and outstanding. Sangster's Board of Directors voted to issue a 2-for-1 stock split during the year. Sangster Company's currently has their common stock selling at $57 per share. Sangster Company's per share par value of the common stock is $10. Sangster's book value of the common stock is $45 per share.

Determine the journal entry to record the declaration of the 2-for-1 stock split for Sangster Company.

a)

Retained Earnings				41,325,000
Common Stock Dividends Distributable					7,250,000
Paid in Capital in Excess of Par - Common Stock - Dividends Distributable					34,075,000

b)	There is no journal entry needed.

c)

Retained Earnings				7,250,000
Common Stock Dividends Distributable					7,250,000

d)

Retained Earnings				32,625,000
Common Stock					7,250,000
Paid in Capital in Excess of Par - Common Stock - Dividends Distributable					25,375,000