Accounting A stock dividend?a) Redistributes stockholders' equityb) Decreases total stockholders' equityc) Increases total stockholders' equityd) Has no effect on the accounting equation

Explanation of Stock Dividend: A stock dividend represents a distribution of additional shares to…

Answered: A stock dividend ? a) Redistributes…

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter10: Stockholder's Equity

Section: Chapter Questions

Problem 16MCQ

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Similar questions

What is the impact on the accounting equation when stock is issued, in exchange for assets? A. both sides increase B. both sides decrease C. only the Asset side changes D. neither side changes
A stock dividend___?
A stock splita. has no effect on total stockholders’ equity.b. increases assets and stockholders’ equity.c. increases assets and decreases stockholders’ equity.d. decreases assets and increases stockholders’ equity
Which of the following decreases total equity? A. A stock split B. Recording Revenue C. The purchase of Treasury Stock D. Issuance of Convertible preferred stock
Which of the following transactions would NOT affect stockholders' equity? a) Issuing new shares of stock b) Paying dividends c) Recording depreciation d) Repurchasing shares of stock
Which of the following will reduce Retained Earnings? a. Declaration of a stock dividendb. Payment of a cash dividendc. Profit for the periodd. None of these
8. How would total stockholders' equity be effected by the declaration of each of the following? Stock dividend a. No effect b. Decrease c. Decrease d. No effect Stock Split Increase Decrease No effect No effect
Which of the following does not decrease retained earnings? Select one: a. Stock dividends b. Cash dividends c. Net loss d. Net income
Which of the following is the reason that preferred dividends declared during the period are deducted from net income in calculating return on common stockholders’ equity? a. Preferred dividends are not paid from net income. b. Preferred dividends are not a part of stockholders’ equity. c. Preferred dividends are not paid until all common stockholders have received their dividends, so preferred dividends are not relevant in the formula and so must be taken out of the equation. d. Preferred dividends will reduce the amount of income available for distribution to common stockholders.
Appropriating retained earnings will Multiple Choice cause an increase in stockholders' equity. cause a decrease in stockholders' equity. have no effect on total stockholders' equity. cause an increase in the dividends payable account.
Which of the following dividends does not reduce total stockholders' equity? O Liquidating dividends. O Cash dividends. O Stock dividends. O All of these answer choices reduce total stockholders' equity.
Which of the following shows a correct effect on equity? Transaction

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A stock dividend ? a) Redistributes stockholders' equity b) Decreases total stockholders' equity c) Increases total stockholders' equity d) Has no effect on the accounting equation