Which of the Following Statements Is FALSE

question 69

Multiple Choice

Which of the following statements is FALSE?

• A)With a stock dividend,a firm does not pay out any cash to shareholders.As a result,the total market value of the firm's assets and liabilities,and therefore of its equity,is unchanged.
• B)If the price of the stock falls too low,a company can engage in a reverse split and reduce the number of shares outstanding.
• C)Stock dividends of 50% or higher are generally referred to as stock splits.
• D)Rather than pay a dividend using cash or shares of its own stock,a firm can also distribute shares of a subsidiary in a transaction referred to as a off-shoot.

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Definitions:

Company Background

Information detailing the history, foundation, values, and key achievements of a business or organization.

Proposal Requirements

The specific criteria, guidelines, or conditions that must be met in a proposal to ensure it is complete, competitive, and compliant.

Decision Criteria

Standards or benchmarks used to evaluate options and make choices in decision-making processes.

Typical RFPs

Standard Requests for Proposals, which are documents issued by organizations to solicit bids from potential vendors for a project or service.