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Zippo Corporation stockholders' equity consisted of the following on January 1 , 2 0 1 6 : Stockholders' Equity Paid - in capital Capital stock

Zippo Corporation stockholders' equity consisted of the following on January 1,2016: Stockholders' Equity Paid-in capital Capital stock 6% Preferred stock, $100 par value, cumulative, 50,000 shares authorized, 30,000 shares issued and outstanding $ 3,000,000 Common stock, no par, $20 stated value, 1,000,000 shares authorized, 500,000 shares issued and outstanding 10,000,000 Total capital stock 13,000,000 Additional paid-in capital In excess of par value-preferred $300,000 In excess of stated value-common 600,000900,000 Total paid-in capital 13,900,000 Retained earnings (Note A) Total stockholders' equity 4,100,000 $18,000,000 Note A: Preferred dividends are in arrears for 2015.Journalize the following information: September 30, the Board of Directors declared and issued immediately a 2:1 stock split on all the common shares, including shares held in the treasury. The stated value on the common stock was reduced to $10 per share.

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