Question
Tech Inc. has 267,000 shares of $4 par value common stock outstanding. It declared 8% stock dividend on Dec. 1 when the market price per
Tech Inc. has 267,000 shares of $4 par value common stock outstanding. It declared 8% stock dividend on Dec. 1 when the market price per share was $30. The shares were issued on Dec. 31. Always include the debit account first and the credit accounts second. If you have a compound entry with multiple debit and or credit accounts include DR and CR to designate if you are debiting or crediting the account. See the example below remembering each line here is one line you are typing into. DR Equipment $100,000 CR Accounts Payable $50,000 CR Cash $50,000
Part A Prepare the entry to declare the stock dividend on December 1st.
Bank #1
Bank #2
Bank #3
Part B
Prepare the journal entry to show the issuance of the stock dividend
Bank #1
Bank #2
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