Ronald Cummings Purchased 800 Shares of Barnum Corp $\begin{array} { l l l } \text { Investment in Enrmum Corp. } & 12,000 & \\\text { Gain from Stcck Split } & & 12,000 \\\end{array}$

Ronald Cummings purchased 800 shares of Barnum Corp.'s common stock for $15 per share.Barnum Corp.'s shares have a par value of $2.If Barnum Corp.declared and issued a two-for-one stock split,what journal entry would Ronald Cummings make?

A) $\begin{array} { l l l } \text { Investment in Enrmum Corp. } & 12,000 & \\\text { Gain from Stcck Split } & & 12,000 \\\end{array}$

B) $\begin{array}{lccc}\text { Investment in Earnum Corp. } & 12,000 & \\\text { Unrealized Gain } & & 12,000 \\\end{array}$

C) $\begin{array}{lccc}\text { Investment in Earnum Corp. } & 12,000 & \\\text { Common Stock } & & 1,600 \\\text { Gain from Stcck Split } & & 10,400 \\\end{array}$

D) $\begin{array}{lccc}\text { Investment in Earnum Corp. } & 1,600 & \\\text { Common Stock } & & 1,600\end{array}$
E) No journal entry is necessary.