A Corporation Declared and Issued a 15% Stock Dividend on October

question 143

Multiple Choice

A corporation declared and issued a 15% stock dividend on October 1. The following information was available immediately prior to the dividend: $$\begin{array} { | l | r | } \hline \text { Retained earnings } & \$ 750,000 \\\hline \text { Shares issued and outstanding } & 60,000 \\\hline \text { Market value per share } & \$ 15 \\\hline \text { Par value per share } & \$ 5 \\\hline\end{array}$$ The amount that contributed capital will increase (decrease) as a result of recording this stock dividend is:

• A)$45,000.
• B)$135,000.
• C)($45,000).
• D)($135,000).
• E)$0.

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Definitions:

Possible Selves

The various components of the self-concept that represent what individuals could become, what they would like to become, and what they are afraid of becoming.

Current Selves

An individual's present sense of identity, incorporating how they see themselves in the moment and their ongoing life narrative.

Self-Serving Bias

A cognitive bias that involves people attributing their successes to internal factors while blaming failures on external factors.

High Self-Esteem

A positive evaluation of oneself and feeling confident in one's own abilities or worth.