Lucid Company Declared a Property Dividend of 20,000 Shares of $1

question 43

Multiple Choice

Lucid Company declared a property dividend of 20,000 shares of $1 par Polk Company common stock. The Polk stock was purchased for $5 per share. Market value was $10 per share on the declaration date and $11 per share on the distribution date. What is the amount of the dividend?

• A)$100,000.
• B)$200,000.
• C)$220,000.
• D)$300,000.20,000 $10 = $200,000

Realize the extent of an agent’s authority in managing property and contracting for necessary repairs.

Recognize the conditions under which a principal’s ratification of a contract can be implied from conduct.

Identify the scenarios in which principals are liable for agents’ misrepresentations.

Understand the concept of direct liability and respondeat superior liability.

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Definitions:

Internal Consistency

The extent to which different test items that propose to measure the same general construct obtain similar scores.

Odd-even Reliability

A measure of internal consistency reliability, where a test is split into odd and even items and the scores are correlated.

Construct Validity

The degree to which a test measures what it claims to be measuring, specifically in terms of whether the test actually assesses the theoretical construct it is designed to measure.

Predictive Validity

The level at which a score from a test or scale forecasts subsequent performance on a connected result.