How Does the Declaration and Payment of a Cash Dividend

question 52

Multiple Choice

How does the declaration and payment of a cash dividend affect a firm?

• A)decreases stockholders' equity
• B)increases stockholders' equity
• C)no effect on stockholders' equity or assets
• D)decreases stockholders' equity and total assets

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Definitions:

Ultimate Causes

Explanatory factors in biology that address why organisms have the traits they do, often looking at historical reasons and evolutionary processes.

Evolutionary Pressures

Various factors in the environment that influence the survival and reproduction of species, driving the process of natural selection.

Genetic Causes

Factors related to variations or mutations in genes that can lead to various traits, diseases, or conditions in organisms.

Stickleback

A small fish often used in evolutionary biology studies, notable for its variable spines and the ability to adapt to fresh and salt water.