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On August 26, 20×5, Via Linda Corporation’s board of directors declared a 2 percent stock dividendapplicable to the outstanding shares of its $5 par value common stock, of which 150,000 shares areauthorized, 130,000 are issued, and 10,000 are held in the treasury. The stock dividend was distributable onSeptember 25 to stockholders of record on September 10. On August 26, the market value of the commonstock was $12 per share. On November 26, the board of directors declared a $0.20 per share cash dividend.No other stock transactions have occurred. Record the transactions on August 26, September 10, September25, and November 26. Make the December 31 entry to close Dividends and Stock Dividends to RetainedEarnings. (SEE ATTACHED)
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