A Stock Dividend Will

question 55

Multiple Choice

A stock dividend will

• A) increase the value of a share of stock.
• B) decrease the capital in excess of par account.
• C) decrease the retained earnings account.
• D) none of these.

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Definitions:

Person's Age

This refers to the length of time that an individual has lived, typically measured in years from the date of birth.

Securities

Financial instruments that represent obligations on the part of the issuers to provide the purchasers with expected stated returns on the funds invested or loaned.

Financial Instruments

Contracts and securities that represent a financial value or obligation, such as stocks, bonds, options, and futures.

Bondholders

Investors who own bonds issued by corporations or governments, entitled to receive interest payments and the principal amount upon maturity.