If a corporation declares a 10% stock dividend on its common stock the account to be debited on the date of declaration is
A) Common Stock Dividends Distributable.
B) Common Stock.
C) Paid-in Capital in Excess of Par.
D) Stock Dividends.

Question

Quizplus · Accepted Answer

When a corporation declares a stock dividend, it debits the Stock Dividends account, which represents the value of the dividend distribution to shareholders. This account is used to record the cost of the stock dividends declared by the company.

If a Corporation Declares a 10% Stock Dividend on Its