Stock Dividends Flashcards by James Boyd | Brainscape

Q

Treatment of Small Stock Dividend (<20 to 25%)

this has NO effect on stockholders equity

A

DR: Retained Earnings
CR: Common Stock
CR: Paid in Capital (Difference)

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Q

Treatment of Large Stock Dividend (>20 to 25%)

Declaration of Stock Dividend at par

A

DR: Retained Earnings
CR: Common Stock Distributable

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Q

Treatment of Large Stock Dividend (>20 to 25%)

Distribution of Stock Dividend

A

DR: Common Stock Distributable
CR: Capital Stock, $10 par common

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