As a Result of a 5% Stock Dividend

question 51

Multiple Choice

As a result of a 5% stock dividend:

• A)Total stockholders' equity decreases by 5%.
• B)The par value per share decreases by 5%.
• C)The number of shares owned by each stockholder increases by 5%,but total stockholders' equity does not change.
• D)Both the number of shares outstanding and the total stockholders' equity increase by 5%.

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Definitions:

Plains Indians

Indigenous peoples who inhabited the Great Plains of North America, known for their nomadic lifestyle and dependence on buffalo hunting.

Tall-grass Prairies

Extensive grasslands characterized by tall grasses, found in the central United States, providing rich habitats for diverse species.

Prospectors

Prospectors are individuals who search for mineral deposits, particularly gold and other precious metals, often in the context of historical gold rushes.

Mining Syndicates

Groups of investors or companies joined together for the purpose of resource extraction, particularly in the mining sector, pooling resources and sharing risks and profits.