A Stock Dividend Exceeding 20 to 25 Percent Is Properly

question 76

True/False

A stock dividend exceeding 20 to 25 percent is properly treated as a stock split.

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Definitions:

Income Distributions

The payment of earnings from investments, such as dividends from stocks or interest from bonds, to investors.

NAV

Net Asset Value indicates the price per share or unit of a fund at a given date or time.

Capital Gain Distributions

The payment of proceeds realized from the sale of an asset held in a mutual fund or ETF, distributed to investors as a taxable distribution.

Income Distributions

Payments, often periodic, received by investors from assets they own, such as dividends from stocks or interest from bonds.