Journal entries-par value of the common shares

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On October 15, 2013, Jindo Company declared and distributed a 10% stock dividend. The market value of the common stock on this date was $30 per share. Fractional share rights represented 8,000 shares. Cash was paid in lieu of issuing fractional share rights. On the date of declaration and payment, the company 1,000,000 shares of common stock outstanding. The par value of the common shares was $1 per share.

Instructions:

Prepare any necessary journal entries to record the above events.

Reference no: EM13824274

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