On January 1, Soft Corporation Had 80,000 Shares of $10

question 315

Multiple Choice

On January 1, Soft Corporation had 80,000 shares of $10 par value common stock outstanding. On June 17, the company declared a 10% stock dividend to stockholders of record on June 20. Market value of the stock was $15 on June 17. The stock was distributed on June 30. The entry to record the transaction of June 30 would include a

• A) credit to Common Stock for $80,000.
• B) debit to Common Stock Dividends Distributable for $120,000.
• C) credit to Paid-in Capital in Excess of Par for $40,000.
• D) debit to Stock Dividends for $40,000.

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Definitions:

Groups

Collections of subjects or entities categorized together for participation in a study or for analysis in research.

Critical Value

The specific value in statistics that a test statistic must exceed to reject the null hypothesis in favor of the alternative.

Formula

A mathematical expression that defines a relationship among variables.

Cramér's V

An indicator of the relationship strength between two categorical variables, ranging from 0 to 1.