A corporation declared and issued a 15% stock dividend on October 1. The following information was available immediately prior to the dividend: Retained earnings$750,000Shares issued and outstanding 60,000Market value per share$15Par value per share$5The amount that paid-in capital will increase (decrease) as a result of recording this stock dividend is:

A. $0.
B. $(135,000).
C. $45,000.
D. $(45,000).
E. $135,000.


Answer: E

Business

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