The stockholders equity of TVX Company at the beginning of the day on February 5 follows: Common stock$5 par value, 150,000 shares authorized, 68,000 shares issued and outstanding $ 340,000 Paid-in capital in excess of par value, common stock 525,000 Retained earnings 675,000 Total stockholders equity $ 1,540,000 On February 5, the directors declare a 18% stock dividend distributable on February 28 to the February 15 stockholders of record. The stocks market value is $41 per share on February 5 before the stock dividend. The stocks market value is $35 per share on February 28.

Required information Exercise 11-6 Stock dividends and per share book values LO P2 [The following information applies to the questions displayed below. The stockholders' equity of TVX Company at the beginning of the day on February 5 follows: Common stock-$5 par value, 150,000 shares 340,000 525,000 675,000 $1,540,000 authorized, 68,000 shares issued and outstanding Paid-in capital in excess of par value, common stock Retained earnings Total stockholders' equity On February 5, the directors declare a 18% stock dividend distributable on February 28 to the February 15 stockholders of record. The stock's market value is $41 per share on February 5 before the stock dividend. The stock's market value is $35 per share on February 28 Exercise 11-6 Part1 1. Prepare entries to record both the dividend declaration and its distribution