Kimberly Conrad Owns 150 Shares of Dalor Organization $\begin{array} { l l l } \text { Retained Earnings } & 4.50 & \\\text { Common Stcxk } & & 4.50 \\\end{array}$

Kimberly Conrad owns 150 shares of Dalor Organization.On January 13,2X13,Dalor Organization declared and issued a 3% stock dividend.The market price per share of Dalor Organization's stock is $35,and the par value is $1.00 per share.What is the journal entry to be made by Dalor Organization with respect to the stock dividend distribution to Kimberly Conrad?

A) $\begin{array} { l l l } \text { Retained Earnings } & 4.50 & \\\text { Common Stcxk } & & 4.50 \\\end{array}$

B) $\begin{array}{lccc}\text { Retained Earning } & 9.00 & \\\text { Additional Faid-in Capital } & 148.50 & \\\quad \text { Common Stcxk } & & 4.50 \\\text { Cash } & & 153.00 \\\end{array}$

C) $\begin{array}{lccc}\text { Retained Earnings } & 157.50 & \\\text { Common Stcxk } & 4.50 & \\\quad \text { Additional Paid-in Capital } & & 135.00 \\\text { Cash } & & 27.00 \\\end{array}$

D) $\begin{array}{lccc}\text { Retained Earnings } & 157.50 & \\\text { Eommon Stcck } & & 157.50 \\\end{array}$

E) $\begin{array}{lccc}\text { Retained Earning } & 157.50 & \\\text { Common Stock } & & 4.50 \\\text { Additional Paid-in Capital } & & 153.00\end{array}$