The following account balances appear on the balance sheet of Osgood Industries:?Common Stock
(300,000 shares authorized, $100 par)$10,000,000Paid-In Capital in Excess of Par-Common Stock2,000,000Retained Earnings45,000,000?The board of directors declared a 2% stock dividend when the market price of the stock was $135 per share.?Required

Stock Dividend

A dividend payment made in the form of additional shares rather than cash, often used by companies to conserve cash.

Market Price

The present cost at which a service or asset is available for purchase or sale in a specific market.

Common Stock

Equity instruments that grant the owner the right to receive dividends, which can fluctuate in value and are not guaranteed, reflecting the company's performance.