Carne Manufacturing Declared a 10% Stock Dividend When It Had

question 17

Multiple Choice

Carne Manufacturing declared a 10% stock dividend when it had 200,000 shares of $5 par value common stock outstanding. The market price per common share was $15 per share when the dividend was declared. The entry to record this dividend declaration includes a credit to:

• A) Stock Dividends of $300,000.
• B) Paid-in Capital in Excess of Par for $200,000.
• C) Common Stock for $300,000.
• D) Stock Dividends for $100,000.

---

Definitions:

Burnt Out

A state of physical, emotional, and mental exhaustion caused by prolonged stress or overworking.

Health Management Strategy

A structured plan for maintaining or improving health, often involving diet, exercise, and lifestyle adjustments.

Refined Carbohydrates

Carbohydrates that have been processed to remove the bran and germ, resulting in a loss of fiber and nutrients.

Sugar

A sweet-flavored substance derived from sugarcane or sugar beet, used predominantly as a sweetener in food and drinks.