The stockholders' equity section of TVX Company on February $4$ follows.$$600,000425,000550,000$$$1,575,000$

On February $5,$ the directors declare a $20\%$ stock dividend distributable on February $28$ to the February $15$ stockholders of record. The stock's market value is $$40$ per share on February $5$ before the stock dividend.

Prepare entries to record both the dividend declaration and its distribution.