Exercise 10-69 Algorithmic Stock Dividends

Exercise 10-69 (Algorithmic) Stock Dividends Crystal Corporation has the following information regarding its common stock: Its common stock is $20 par, with 300,000 shares authorized, 132,000 shares issued, and 130,600 shares outstanding. On August 22, 2019, Crystal declared and paid a 15% stock dividend when the market price of the common stock was $28 per share Required: 1. Prepare the journal entry to record declaration and payment of this stock dividend, 2019 Aug. 22 Retained Earnings 548,520 Common Stock 391,800 156,720 Additional Paid-In Capital-Treasury Stock (Record small stock dividend) 2. Prepare the journal entry to record declaration and payment assuming it was a 30% stock dividend 2019 Aug 22 Retained Earnings 783,600 Common Stock 783,600 (Record large stock dividend)