Prepare entries to record both the dividend declaration and its distribution.

1. Record the declaration of a 2% stock dividend.
2. Record the distribution of a 2% stock dividend.

Required information [The following information applies to the questions displayed below.] The stockholders' equity section of TVX Company on February 4 follows. On February 5 , the directors declare a 2% stock dividend distributable on February 28 to the February 15 stockholders of record. The stock's market value is $36 per share on February 5 before the stock dividend