Declaring a Stock Dividend

[strayhorn]

I need some help. I am an accounting student who cannot figure out this problem.

$1,000,000 of common stock outstanding issued at par.
Retained Earnings of $750,000.
40,000 shares of common stock issued at par.
Earned net income of $400,000 for the year.

I need to journlize the declaration of 15% stock dividend for

1. Par value of $10, and market value of $18
2. Par value of $5, and market value of $20

I basically know the concept, I think I'm not beginning with the correct amount of shares.

Any help would be greatly appreciated!!