loader  Loading... Please wait...

Question(s) / Instruction(s):

A company originally issued 10,000 shares of $5 common stock at $7. The board of directors declares a 10% stock dividend when the market price of the stock is $9 a share. Which of the following is included in the entry to record the stock dividend? 

a)            Retained earnings is debited for $9,000.  

b)            Retained earnings is credited for $9,000.  

c)            Retained earnings is debited for $5,000.  

d)            Common stock is credited for $9,000.  


Find Similar Answers by Subject

Student Reviews

Rate and review your solution! (Please rate on a Scale of 1 - 5. Top Rating is 5.)

Expert's Answer
Download Solution:

This solution includes:

  • Plain text
  • Cited sources when necessary
  • Attached file(s)
  • Solution Document(s)

Reach Us