The Per Share Amount Normally Assigned by the Board of Directors

question 149

Multiple Choice

The per share amount normally assigned by the board of directors to a large stock dividend is

• A) the market value of the stock on the date of declaration.
• B) the average price paid by stockholders on outstanding shares.
• C) the par or stated value of the stock.
• D) zero.

---

Definitions:

Assistantship

A form of academic employment offered to students, typically involving teaching or research in exchange for a stipend and possibly tuition waiver.

State University

A publicly funded university maintained by a state government that typically offers lower tuition costs to in-state residents.

Exempt From Income

Describes income that is not subject to income tax under current tax laws.

Compensation

Payment or benefit given to an individual, such as salary, wages, or bonuses, for services rendered.