Declaration and Issuance of a Stock Dividend

question 40

Multiple Choice

Declaration and issuance of a stock dividend

• A) has no effect on total assets, liabilities, or shareholders' equity.
• B) decreases the amount of working capital.
• C) decreases total shareholders' equity.
• D) increases the current ratio.

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Definitions:

Mental Age

A measure of an individual's cognitive ability expressed as the age at which an average individual achieves the same ability.

Analytical Intelligence

The ability to analyze, evaluate, judge, or compare and contrast information, often considered a component of general intelligence.

Creative Intelligence

The ability to use imagination and innovation to solve problems, often linked with the capability to see new perspectives.

Robert Sternberg

An American psychologist known for his work on intelligence, creativity, wisdom, and love, including the development of Sternberg's Triangular Model of Love.