Cambridge has 500,000 shares of $3 par value common stock outstanding. The current market price of the stock is $225 per share. Cambridge distributes a stock dividend of 15% of the outstanding shares of common stock.
Required:
Record the journal entry when the stock dividend is declared and the journal entry when the stock dividend is paid.

Question

Cambridge has 500,000 shares of $3 par value common stock outstanding. The current market price of the stock is $225 per share. Cambridge distributes a stock dividend of 15% of the outstanding shares of common stock. 
Required:
Record the journal entry when the stock dividend is declared and the journal entry when the stock dividend is paid.

Quizplus · Accepted Answer

The Answer of Cambridge has 500,000 shares of $3 par value common stock outstanding. The current market price of the stock is $225 per share. Cambridge distributes a stock dividend of 15% of the outstanding shares of common stock. 
Required:
Record the journal entry when the stock dividend is declared and the journal entry when the stock dividend is paid.

Cambridge Has 500,000 Shares of $3 Par Value Common Stock