Question

Vincent Corporation has 90,000 shares of $105 par common stock outstanding. On June 30, Vincent Corporation declared a 4% stock dividend to be issued on July 30 to stockholders of record July 15. The market price of the stock was $120 a share on June 30. If no entry is required, select "No Entry" and leave the amount boxes blank. Journalize the entry required on June 30. If an amount box does not require an entry, leave it blank. June 30 Journalize the entry required on July 15. If an amount box does not require an entry, leave it blank. July 15 Journalize the entry required on July 30. If an amount box does not require an entry, leave it blank. July 30

Answer 1

Credit Date June. 30 Debit 432,000 Account title Stock dividends (90,000x$120x4%) Stock dividend distributable (90,000x$105x4%) Paid in capital in excess of par-Common stock 378,000 54,000 Account title Debit Credit Date July. 15 No entry | Credit Date July. 30 Account title Stock dividends distributable Common stock Debit 378,000 378,000