For a stock dividend of less than 20 to 25% of the outstanding shares, Stock Dividends is debited for the par value of the stock to be distributed.

Name: For a stock dividend of less than 20 to 25% of the outstanding shares, Stock Dividends is debited for the par value of the stock to be distributed.
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Question

Quizplus · Accepted Answer

For a stock dividend of less than 20 to 25%, the Stock Dividends account is debited for the fair market value of the stock, not the par value.

For a Stock Dividend of Less Than 20 to 25