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The stockholders' equity section of the balance sheet for Dairy Heaven Corporation on April 11, 2019 follows (Click the icon to view the data) On April 11, 2019, the market price of Dairy Heaven common stock was $20 per share Dairy Heaven declared and distributed a 5% stock dividend on this date Read the requirements SBE Requirement 1. Journalize the declaration and distribution of the 5% stock dividend. (Record debits first, then credits. Exclude explanations from any Journal Journal Entry Accounts Date Debit Credit April 11

- Х Data table $ 240,000 Stockholders' Equity Common stock, $0.40 par 2,100,000 shares authorized, 600,000 shares issued Paid-in capital in excess of par-common Retained earnings Accumulated other comprehensive income (loss) Total stockholders' equity 1,291,520 7,133,000 (170,000) $ 8,494,520 Print Done

- Х Requirements 1. Journalize the declaration and distribution of the stock dividend. 2. Prepare the stockholders' equity section of the balance sheet after the stock dividend 3. Why is total stockholders' equity unchanged by the stock dividend? 4. Suppose Dairy Heaven had a cash balance of $580,000 on April 12, 2019 What is the maximum amount of cash dividends the company can declare? Print Done