Which of the Following Is True of the Distribution of Stock

question 77

Multiple Choice

Which of the following is true of the distribution of stock dividends?

• A)It decreases both assets and liabilities.
• B)It decreases assets and increase liabilities.
• C)It affects only stockholder's equity accounts.
• D)It increases both dividends payable and cash.

---

Definitions:

Income

Monetary returns that come on a recurring basis, either from being employed or from putting money into investments.

Nash Equilibrium

A concept in game theory where each player's strategy is optimal, given the strategies of all other players in the game.

Payoff

An outcome of a decision or action, usually quantified in terms of profit, loss, or other benefits.

Strategy

A planned series of actions or tactics aimed at achieving specific goals or outcomes, often used in the context of business, military, or games.