The following data were taken from the balance sheet accounts of Masefield Corporation on December 31, 2013.

Current assets $540,000

Debt investments 624,000

Common stock (par value $10) 500,000

Paid-in capital in excess of par 150,000

Retained earnings 840,000

Prepare the required journal entries for the following unrelated items.

(a) A 5% 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.