Which of the Following Statements About Stock Dividends Is $\bold{true}$ ?
A)Stock Dividends Are Reported on the Income Statement

question 114

Multiple Choice

Which of the following statements about stock dividends is $\bold{true}$ ?

• A)Stock dividends are reported on the income statement.
• B)Stock dividends are reported on the statement of shareholders' equity.
• C)Stock dividends increase total shareholders' equity.
• D)Stock dividends decrease total shareholders' equity.

---

Definitions:

Micelle

An aggregate of surfactant molecules dispersed in a liquid colloid, forming a molecular assembly that can solubilize hydrophobic molecules in its hydrophobic core.

Hydrophobic

Characteristic of molecules or substances that do not readily mix with water.

Hydrophilic

Describes molecules or substances that are attracted to water and dissolve well in it.

Linoleic Acid

An essential polyunsaturated fatty acid belonging to the omega-6 fatty acid family, necessary for human health but cannot be synthesized by the human body.