The following data were taken from the balance sheet accounts of Masefield Corporation on December 31, 2016.

Current assets

$540,000

Debt investments (trading)

624,000

Common stock (par value $10)

500,000

Paid-in capital in excess of par

150,000

Retained earnings

840,000

Instructions

Prepare the required journal entries for the following unrelated items.

(a)

A 30% stock dividend is declared and distributed at a time when the market price per share is $39.

(b)

The par value of the common stock is reduced to $2 with a 5-for-1 stock split.

(c)

A dividend is declared January 5, 2017, and paid January 25, 2017, in bonds held as an investment. The bonds have a book value of $100,000 and a fair value of $135,000.