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VikaD [51]
3 years ago
8

Novak Corp. has 44,000 shares of $11 par value common stock outstanding. It declares a 11% stock dividend on December 1 when the

market price per share is $19. The dividend shares are issued on December 31. Prepare the entries for the declaration and issuance of the stock dividend. (Record journal entries in the orde

Business
1 answer:
Sliva [168]3 years ago
4 0

Answer: The answer has been provided below

Explanation:

From the information given in the question, the number of shares that are allotted as stock dividend will be:

= 44,000 × 11%

= 44,000 × 0.11

= 4840

Stock dividend:

= 4840 × $19

= $91960

The common stock dividend shared:

= 4840 × $11

= $53240

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Answer:

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