Question: Painting Schools Inc is authorized to issue 200 000 shares of

Painting Schools, Inc. is authorized to issue 200,000 shares of $ 1 par common stock. The company issued 77,000 shares at $ 3 per share. When the market price of common stock was $ 5 per share, Painting declared and distributed a 10% stock dividend. Later, Painting declared and paid a $ 0.25 per share cash dividend.

1. Journalize the declaration and the distribution of the stock dividend.
2. Journalize the declaration and the payment of the cash dividend.

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  • CreatedJanuary 16, 2015
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