The stockholders$$ equity section of TVX Company on February $4$ follows.

Common stock$$$$25$ par value, $150,000$ shares authorized, $60,000$ shares issued and outstanding $ $1,500,000$

Paid$-$in capital in excess of par value, common stock $422,000$

Retained earnings $552,000$

Total stockholders$$ equity $ $2,474,000$

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.

$1.$ Prepare entries to record both the dividend declaration and its distribution.

Answer rating: 100% (QA)

Answer To record the dividend declaration and its distribution well need to make entries for both ev... View the full answer