Which One of the Following Is an Example of a Liquidating

question 5

Multiple Choice

Which one of the following is an example of a liquidating dividend?

• A)Valley Feed Mills recently sold its grain storage facility and is distributing the proceeds of that sale to its shareholders.
• B)Kate's Winery has excess cash that it wishes to distribute to its shareholders in addition to its normal cash dividend.This extra distribution usually occurs about once every year.
• C)Hi Tek had an extraordinarily profitable year and has decided to do a one-time only $10 per share cash dividend.
• D)Kurt's Music is planning to increase its quarterly dividend by 3 per cent.
• E)The Dried Florist is preparing to pay its first annual dividend of $0.08 per share.

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Definitions:

Sinoatrial Node

A small body of specialized muscle tissue in the heart that acts as a natural pacemaker, initiating the heart's electrical impulses.

AV Node

A part of the electrical conduction system of the heart that delays the electrical impulse from the atria, allowing the ventricles time to fill with blood.

Atrioventricular Valves

Valves between the atria and ventricles of the heart that prevent the backflow of blood.

Semilunar Valves

Heart valves located at the bases of the large arteries that exit the heart (the aorta and the pulmonary artery); they prevent blood from flowing back into the heart's ventricles after contraction.