What Is the Economic Difference Between a Stock Dividend and a Stock

question 130

Multiple Choice

What is the economic difference between a stock dividend and a stock split?

• A) Stock splits create greater economic benefits to shareholders than stock dividends.
• B) Stock splits increase EPS more than stock dividends.
• C) There is no economic difference between a stock dividend and a stock split.
• D) Stock dividends create greater economic benefits to shareholders than stock splits.

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Definitions:

Semantic/Episodic Distinction

The differentiation between semantic memory, which deals with facts and concepts, and episodic memory, which involves personal experiences and events.

Temporally

Refers to something related to or involving time.

Repeated Studying

A learning technique involving multiple sessions of reviewing material over a span of time.