On January 1, Sunland Company had 135000 shares of $10 par value common stock outstanding. On March 17 the company declared a 5% stock dividend to stockholders of record on March 20. Market value of the stock was $15 on March 17. The stock was distributed on March 30. The entry to record the transaction of March 30 would include a debit to Common Stock Dividends Distributable for $67500. O credit to Paid-in Capital in Excess of Par Value for $33750. O debit to Stock Dividends for $33750. credit to Cash for $67500.

On January 1, Sunland Company had 135000 shares of $10 par value common stock outstanding. On March 17 the company declared a 5% stock dividend to stockholders of record on March 20. Market value of the stock was $15 on March 17. The stock was distributed on March 30. The entry to record the transaction of March 30 would include a debit to Common Stock Dividends Distributable for $67500. O credit to Paid-in Capital in Excess of Par Value for $33750. O debit to Stock Dividends for $33750. credit to Cash for $67500.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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