Dynasty Corporation had stockholders' equity on January 1 as follows: Common Stock, $5 par value, 1,000,000 shares authorized, 400,000 shares issued; Paid-in Capital in Excess of Par Value, Common Stock, $800,000; Retained Earnings, $3,600,000. Prepare journal entries to record the following transactions:
Feb. 15 The board of directors declared a 5% stock dividend to stockholders of record on
March 1, to be issued on March 20. The stock was trading at $7 per share prior to the dividend
Mar. 1 The date of record.
Mar. 20 Issued the stock dividend.

Question

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The Answer of Dynasty Corporation had stockholders' equity on January 1 as follows: Common Stock, $5 par value, 1,000,000 shares authorized, 400,000 shares issued; Paid-in Capital in Excess of Par Value, Common Stock, $800,000; Retained Earnings, $3,600,000. Prepare journal entries to record the following transactions:
Feb. 15 The board of directors declared a 5% stock dividend to stockholders of record on
March 1, to be issued on March 20. The stock was trading at $7 per share prior to the dividend
Mar. 1 The date of record.
Mar. 20 Issued the stock dividend.

Dynasty Corporation Had Stockholders' Equity on January 1 as Follows