Question 24 A A company declared a 40% stock dividend on its $10 par value common stock. At the time of the stock dividend, the company had a 100,000 shares outstanding and the market value per share was $28. The entry to record this dividend is debit Retained Earnings $1,120,000; credit Common Stock Dividend Distributable $1.120.000 debit Common Stock Dividend Distributable $1,120,000 credit Common Stock 51.120.000 debit Retained Earnings $1.120,000: credit Common Stock Dividend Distributable $400,000, credit Paid-in Capital in excess of Parlux 720.000 Odebit Retained Earnings $400,000; credit Common Stock Dividend Distributable $400,000 debit Retained Earnings $400,000; credit Cash $400,000