1. STU Corporation is authorized to issue 500,000 shares of $12.00 par value common stock. As of December 2012, STU's stockholders' equity accounts report the following balances:
Common stock, $12 par, 500,000 shares authorized, 53,000 shares issued and outstanding
- Retained earnings 636,000
- Total Stockholder equity 775,000
At the end of 2012, STU decided to issue a 15% stock dividend, when the market price of the stock was $14 per share.determine the dollar amount to be transferred from Retained Earnings to paid-in capital accounts as a result of the stock dividend.