The Effect of a Stock Dividend Is to

question 139

Multiple Choice

The effect of a stock dividend is to

• A) decrease total assets and stockholders' equity.
• B) change the composition of stockholders' equity.
• C) decrease total assets and total liabilities.
• D) increase the book value per share of common stock.

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Definitions:

Slums

Highly populated urban residential areas consisting mostly of closely packed, decrepit housing units in a situation of deteriorated or incomplete infrastructure.

Homeless

Individuals who lack a fixed, regular, and adequate nighttime residence, facing significant challenges in obtaining shelter and stability.

Cash Equivalent

Assets that are easily convertible into cash with little to no risk of change in value.

Price Ceiling

A legal maximum price that can be charged for a particular good or service to prevent prices from becoming too high.