Stock Dividend

Bower Corporation reported the following information: common stock, $1 par; 100,000 shares authorized; 27,000 shares issued and outstanding.

Required:

1. What is the appropriate journal entry to record a 10% stock dividend if the market price of the common stock is $30 per share when the dividend is declared?

		fill in the blank 14726cfd7029fdb_2	fill in the blank 14726cfd7029fdb_3
		fill in the blank 14726cfd7029fdb_5	fill in the blank 14726cfd7029fdb_6
		fill in the blank 14726cfd7029fdb_8	fill in the blank 14726cfd7029fdb_9
	(Record small stock dividend)

2. What is the appropriate journal entry to record a 30% stock dividend if the market price of the common stock is $30 per share when the dividend is declared?

		fill in the blank 2b5c0c01dfe3fc6_2
			fill in the blank 2b5c0c01dfe3fc6_4
	(Record large stock dividend)

3. How do these transactions affect Bower's total stockholders' equity?

Total stockholders equity is ---- by these transactions.