Recording a small stock dividend [5-10 min]
Supreme Water Sports has 12,000 shares of $2 par common stock outstanding. Supreme distributes a 5% stock dividend when the market value of its stock is$22 per share.
Requirements
1. Journalize Supreme’s distribution of the stock dividend on August 31. An explanation is not required.
2. What is the overall effect of the stock dividend on Supreme’s total assets?
3. What is the overall effect on total stockholders’ equity?
We need at least 10 more requests to produce the solution.
0 / 10 have requested this problem solution
The more requests, the faster the answer.