A stock dividend: ) Is not a liability on the corporation's balance sheet. Does not reduce a corporation's assets and stockholders' equity. Transfers a portion of equity from retained earnings to contributed capital. Does not affect total equity, but does affect the components of equity. All of the above.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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A stock dividend:
Is not a liability on the corporation's balance sheet.
Does not reduce a corporation's assets and stockholders' equity.
Transfers a portion of equity from retained earnings to contributed capital.
Does not affect total equity, but does affect the components of equity.
O All of the above.
Transcribed Image Text:A stock dividend: Is not a liability on the corporation's balance sheet. Does not reduce a corporation's assets and stockholders' equity. Transfers a portion of equity from retained earnings to contributed capital. Does not affect total equity, but does affect the components of equity. O All of the above.
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