Fort Saskatchewan Ltd A)Option a
B)Option B
C)Option C
D)Option D

question 4

Multiple Choice

Fort Saskatchewan Ltd.is choosing between paying out a stock dividend or a cash dividend.What will be the effect on their current ratio of the two choices?

$\begin{array}{ll}&\text { Stock } & \text { Cash } \\&\text { Dividend } & \text { Dividend }\\\hline A.&\text { Unchanged } & \text { Unchanged } \\B.&\text { Unchanged } & \text { Decreased } \\C.&\text { Decreased } & \text { Unchanged } \\D.&\text { Decreased } & \text { Decreased }\end{array}$

• A)Option A
• B)Option B
• C)Option C
• D)Option D

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Definitions:

Adverse Behavioural Responses

Negative reactions or changes in behavior resulting from policies, actions, or conditions, often unintended consequences.

Production Budget

A financial plan that outlines the cost of producing the products a company plans to sell, including direct materials, labor, and overhead.

Direct Materials

Raw materials that are directly traceable to the manufacturing of a product and considered a part of the product's cost.

Direct Labour Hours

This term describes the actual hours worked by employees who are directly involved in the manufacturing process.