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:

True Experimental Design

Research design involving random assignment of participants to conditions and manipulation of an independent variable to determine its effect on a dependent variable.

Random Assignment

A method used in experimental designs to allocate participants to different groups in a study, ensuring each has an equal chance of being assigned to any group.

Internal Validity

The extent to which a study can demonstrate that a causal relationship exists between variables, without being influenced by external factors.

One-Group Pretest-Posttest Uninterpretable Design

Refers to a simplistic experimental design where a single group of subjects is tested before and after an intervention without a control group, making causal interpretations difficult.