Carne Manufacturing declared a 10% stock dividend when it had 200,000 shares of $5 par value common stock outstanding. The market price per common share was $15 per share when the dividend was declared. The entry to record this dividend declaration includes a credit to:
a. Stock Dividends of $300,000.
b. Paid-in Capital in Excess of Par for $200,000.
c. Common Stock for $300,000.
d. Stock Dividends for $100,000.
Answer: b. Paid-in Capital in Excess of Par for $200,000.
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