The following data were taken from the statement of financial position accounts of Bedard Corporation on December 31, 2017:
Current assets ..................................................................................... $1,040,000
FV-NI investments .................................................................................. 824,000
Common shares (unlimited authorized, 600,000 shares issued and outstanding) ........ 6,000,000
Contributed surplus .................................................................................. 350,000
Retained earnings ................................................................................. 1,840,000
Instructions
Prepare the required journal entries for the following unrelated events in January 2018.
(a) A 6% stock dividend is declared and distributed at a time when the shares' fair value is $48 per share.
(b) A 4-for-1 stock split is effected.
(c) A dividend in kind is declared on January 8, 2018 and paid on January 28, 2018 in fair value-net income investments. The investments have a carrying amount of $160,000 (fair value at December 31, 2017) and a January 8 fair value of $165,000.