When a Company Issues a Stock Dividend, Which of the Following

question 114

Multiple Choice

When a company issues a stock dividend, which of the following would be affected?

• A) Earnings per share.
• B) Total assets.
• C) Total liabilities.
• D) Total shareholders' equity.

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Definitions:

Accounts Receivable Collections

The process of pursuing and collecting payments from customers or clients who have outstanding balances or invoices.

Receivables

Receivables from clients to an enterprise for products or services that have been dispensed or used, but whose payments are pending.

Ending Cash Balance

The amount of cash a company has at the end of a financial period, reflecting its liquidity position.

Sales

The transactions of selling goods or services to customers, often measured over a specific time period like monthly sales.