The Stockholders' Equity of Anamanda Company at September 30,2012,is Presented $\text {Common Stack, par value \$10, authorized 500,000 shares; 200,000}$

The stockholders' equity of Anamanda Company at September 30,2012,is presented below:
$\text {Common Stack, par value \$10, authorized 500,000 shares; 200,000}$

$\begin{array}{llcc} \text { shares issued and outstanding } &\$2,000,000 \\ \text { Paid-In Capital in Excess of Par } &300,000\\ \text { Retained Earnings } &\underline{1,300,000}\\ \text { } &\underline{\$3,600,000}\\ \text { } &\\ \text { } &\\\end{array}$

On October 1,2012,the Board of Directors of Anamanda declared a 10% stock dividend to be distributed on November 10.The market price of the common stock was $15 on October 1 and $17 on November 10.What is the amount of the charge to retained earnings as a result of the declaration and distribution of this stock dividend?

A) $0
B) $200,000
C) $300,000
D) $340,000
E) $750,000