Hunter recently purchased 1,000 shares of Forrest Corporation stock,but now receives additional 100 shares of Forrest stock,which represent a ratable distribution of additional shares by the corporation.Hunter's receipt of additional shares is a:

Question

Quizplus · Accepted Answer

Hunter received additional shares of Forrest Corporation stock, which is a distribution of dividend in the form of shares. Therefore, it is a stock dividend.

Hunter Recently Purchased 1,000 Shares of Forrest Corporation Stock,but Now