DROP DOWN OPTIONS FOR REQUIREMENT 3 and 4:

1. a promissory note; cash; no assets

2. agreed to pay later. ; issued dividend checks totaling $1,024,000. ; transferred $1,024,000 from Retained Earnings to Common Stock and Paid-in Capital of Par.

3. are unlimted. ; cannot exceed the balance in the Cash account, $590,000. ; cannot exceed the balance in the Common Stock account, $116,000. ; cannot exceed the balance in the Retained Earnings account, $6,098,000.

The stockholders' equity for Dairy Heaven Corporation on July 14, 2017, follows: (Click the icon to view the data.) On July 14, 2017. the market price of Dairy Heaven common stock was $16 per share. Assume Dairy Heaven declared and distributed a 16% stock dividend on this date Read the reguirements. Requirement 1. Journalize the declaration and distribution of the 16% stock dividend. (Record debits first, then credits. Exclude explanations from any journal entries.) Journal Entry Date Accounts Debit Credit July 14 Requirement 2. Prepare the stockholders' equity section of the balance sheet after the stock dividend. (Enter the accounts in the proper order for the stockholders' equity section of the balance sheet. Use parentheses or a minus sign for numbers to be subtracted.) Balance Sheet (Partial) Stockholders' Equity par shares shares Total stockholders' equity