Randall's, Inc

Randall's, Inc. has 20,000 shares of stock outstanding with a par value of $1.00 per share. The market value is $12 per share. The balance sheet shows $42,000 in the capital in excess of par account, $20,000 in the common stock account and $50,500 in the retained earnings account. The firm just announced a 5 percent (small) stock dividend. What is the change in the balance in the capital in excess of par account after the dividend?

A) -$12,000
B) $0
C) $10,000
D) $11,000
E) $13,000