A Corporation Declared and Issued a 15% Stock Dividend on November

question 131

Multiple Choice

A corporation declared and issued a 15% stock dividend on November 1. The following up-to-date information was available immediately prior to the dividend:

The amount that total stockholders' equity will increase (decrease) as a result of recording this stock dividend is:

• A) $45,000
• B) $135,000
• C) $(90,000)
• D) $(135,000)
• E) $0

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Definitions:

Comparable Worth

The concept that people should receive equal pay for work of equal value, regardless of the job title or position.

Graphic Rating Scale

A type of performance assessment that uses a checklist of traits or characteristics to evaluate performance.

Behaviourally Anchored Rating Scale

A performance appraisal method that uses specific examples of behavior to evaluate the performance of employees instead of relying on more subjective measures.

Bona Fide

Means genuine, real, or without the intention of deceit; often used to describe authentic documents or sincere intentions.