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The stockholders equity of the sadler company is as shown: Common stock, $10 par $250,000 Additional paid-in capital on common stock 150,000 Retained earnings 200,000
The stockholders equity of the sadler company is as shown: Common stock, $10 par $250,000 Additional paid-in capital on common stock 150,000 Retained earnings 200,000 $600,000 The company is considering the declaration and issuance of a stock dividend at a time when the market price is $30 per share: Required 1. Assuming the board of directors recommends a 6% stock dividend, prepare: a. The journal entry at the date of declaration b. The journal entry at the date of issuance c. The stock holders equity after the issuance 2. Assuming, instead, that a 40% stock dividend is recommended, repeat (a), (b), and (c) of Requirement
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