Which one of the following events would not require a journal entry on a corporation's books?
A) 100% stock dividend
B) 2 for 1 stock split
C) 2% stock dividend
D) $1 per share cash dividend

Question

Quizplus · Accepted Answer

A stock split does not affect the balance sheet accounts directly and therefore does not require a journal entry. It simply increases the number of shares outstanding and decreases the par value per share, without changing the total value of equity.

Which One of the Following Events Would Not Require a Journal