A 100% Stock Dividend Results in a Doubling of the Number

question 53

True/False

A 100% stock dividend results in a doubling of the number of outstanding shares,but they do not affect the company's assets,profits,or total value.

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Definitions:

Wage-Price Flexibility

The ability of wages and prices to adjust freely in response to changes in supply and demand in the labor and goods markets.

Say's Law

An economic theory that proposes supply creates its own demand, suggesting that producing goods and services will in turn generate sufficient demand for those goods and services.

Paradox Of Thrift

An economic theory suggesting that personal savings can be detrimental to overall economic growth if everyone saves more and spends less, leading to decreased aggregate demand.

American Economy

The economic system of the United States, characterized by a mixed economy that supports free market activities.