An Increase in the Number of Authorized, Issued and Outstanding

question 28

Multiple Choice

An increase in the number of authorized, issued and outstanding shares of stock along with a proportional reduction in the stock's par value is a:

• A) deficit.
• B) stock dividend.
• C) stock split.
• D) cash dividend.

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Definitions:

Insider Trading

Insider Trading refers to the buying or selling of a publicly traded company's stock by someone who has non-public, material information about that stock.

Financial Reporting Releases (FRRs)

Official documents issued by regulatory bodies, providing guidelines and interpretations related to financial reporting standards.

Accounting Principles

Fundamental concepts and guidelines for financial reporting and accounting practices, beyond those defined strictly by GAAP.

Moratorium

A temporary prohibition or suspension of an activity or a law that allows a delay in the payment of debts or obligations.